Core Viewpoint - Investors are closely monitoring the upcoming earnings reports from Home Depot and Lowe's for indications of improvement in the home and garden market, which has been facing several challenges [1][2]. Industry Summary - The home and garden retail sector is experiencing difficulties due to a sluggish housing market, tariffs, high interest rates, and consumer caution regarding large purchases. Despite overall retail growth from May to July, building materials and garden supply retailers reported year-over-year declines of at least 4% [2]. - Home Depot and Lowe's have been gaining market share from smaller competitors, benefiting from their strong brand presence and competitive pricing strategies [3]. Company Summary - Home Depot reported total sales of $39.9 billion for its first quarter, reflecting a 9.4% year-over-year increase, although comparable sales decreased by 0.2% due to foreign exchange impacts [4]. - Lowe's experienced a decline in total sales from $21.4 billion to $20.9 billion year-over-year, with comparable sales down 1.7%. The company attributed this drop to unfavorable weather conditions, though it noted growth in online sales and its professional business segment [5]. - Lowe's emphasized its commitment to customer service, achieving the 1 ranking in Customer Satisfaction among Home Improvement Retailers according to J.D. Power. The company is focusing on strategic investments in technology and store environments to enhance customer experience [6].