The Home Depot, Inc. operates as a home improvement retailer in the United States and internationally. It sells various building materials, home improvement products, lawn and garden products, and décor products, as well as facilities maintenance, repair, and operations products. The company also offers installation services for flooring, water heaters, bath, garage doors, cabinets, cabinet makeovers, countertops, sheds, furnaces and central air systems, and windows. In addition, it provides tool and equipment rental services. The company primarily serves homeowners; and professional renovators/remodelers, general contractors, maintenance professionals, handymen, property managers, and building service contractors, as well as specialty tradesmen, such as electricians, plumbers, and painters. It sells its products through websites, including homedepot.com; homedepot.ca and homedepot.com.mx; blinds.com, justblinds.com, and americanblinds.com for custom window coverings; thecompanystore.com, an online site for textiles and décor products; hdsupply.com for maintenance, repair, and operations (MRO) products and related services; and The Home Depot stores. The Home Depot, Inc. was incorporated in 1978 and is headquartered in Atlanta, Georgia.

Home Depot looks like a high-quality but already expensive business: strong operating profitability is combined with a noticeable premium to the sector on key valuation multiples. P/E of 24, P/S of 2.02, P/FCF of 23.5, and especially P/B of 24.28 are materially above the sector median, which limits re-rating potential and increases sensitivity to any slowdown. At the same time, the operating margin of 12.45% and net margin of 8.41% remain high and above industry levels, while ROA of 13.37% and ROI of 24.07% confirm capital efficiency. ROE looks extremely high, but given the very heavy debt load, this is more likely a reflection of financial leverage than of purely operational outperformance. The balance sheet remains vulnerable: debt/equity of 3.23 and long-term debt of $44.8 billion are significantly above comfortable levels, while a quick ratio of 0.28 and current ratio of 1.04 point to weak short-term liquidity. This is an important drawback for the retail cycle, where demand can deteriorate quickly under pressure on consumers and the housing market. On the other hand, revenue, EBITDA, operating profit, and net income remain large and stable, and equity has increased noticeably over the year, which supports financial resilience. Dividend yield of 0.75% has increased compared with last year, but it is still low and is not the main driver of the investment case. EPS dynamics also send a negative signal: the current figure is below prior levels, and the forecast EPS is also weaker than earlier values, suggesting moderate pressure on profitability. Gross margin of around 33.1% is stable, but below the sector median, meaning pricing power does not look outstanding. Overall, the fundamentals support the company as a high-quality market leader, but the current valuation already reflects a significant part of these strengths. Therefore, only a moderate conservative downward adjustment to the forecast is warranted, rather than a deep revision.

Home Depot, Inc. (The)

Сильный индекс, значительно упал. Быки в растерянности.

Strong index, significantly down. The bulls are confused.

Средний индекс, значительно вырос. Рынок не поддерживает быков.

Medium index, significantly up. The market does not support the bulls.

Сильный индекс, незначительно вырос. Отток средств из лонгов на высоком уровне.

Strong index, slightly up. Outflow of funds from longs at a high level.

Home Depot remains a profitable and efficient leader, but it trades at a high premium to the industry amid weak liquidity and a notable debt burden.

Key Points
Home Depot beat estimates on the top and bottom lines in its second-quarter report.
It posted its best comparable sales growth in nearly four years.
The housing market remains a headwind for the company.
Home Depot (NYSE:HD) came into its second-quarter earnings report on Tuesday, with investors hoping to see some signs of progress in a challenging macro environment, as the housing market has continued to struggle.
Against that backdrop, the leading home improvement retailer delivered solid results. In fact, the company reported its strongest comparable sales growth in nearly four years, with same-store sales up 1.7% globally and 1.3% in the U.S., which shows how difficult the environment has been, coming after the pandemic-driven boom in home-improvement spending.
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Overall revenue rose 5.7% to $47.86 billion, easily beating estimates of $47.23 billion. Gross margin also improved to 33.7% from 33.4% in the quarter a year ago, though that was mostly due to a benefit from the IEEPA tariff refund. Without that, gross margin would have fallen due to higher fuel, energy, and product input costs. Selling, general, and administrative expenses as a percentage of revenue rose from 17.1% to 17.6%, and adjusted earnings per share rose from $4.68 to $4.92, which beat the consensus at $4.73.
The results were enough to send the stock up initially higher in trading on Tuesday morning, but the gains faded throughout the session.
Home Depot continued to see success in the DIY segment and in online sales, with digital comps up 11%, marking the fifth straight quarter of double-digit gains in that channel.
As in recent quarters, the company said smaller projects continued to drive demand, while customers delayed larger projects due to high interest rates and inflation, as well as the ongoing weakness in the housing market.
Home Depot reaffirmed its full-year guidance, calling for comp sales growth between flat and 2% and total revenue growth of 2.5%-4.5%, reflecting its acquisition of GMS, a specialty building-products distributor, to complement its earlier acquisition of SRS Distribution.
On the bottom line, Home Depot sees adjusted earnings-per-share growth of flat to 4%, or $14.69 to $15.28, which was in line with the consensus at $14.96.
Image source: Home Depot
Is Home Depot a buy now?
Home Depot's strongest comparable sales growth in nearly four years is a positive sign, and the company is gaining market share. Additionally, its strategy with SRS appears to be paying off as the company plans to add 40-50 new SRS branches in the quarter as it goes after the massive building supplies distribution market.
However, even as the business appears to be executing well, it's difficult for Home Depot to overcome the cyclical headwinds in the housing market, especially with 30-year interest rates now at the highest point they've been since 2007. Investors are anticipating at least one rate hike by the end of the year, which will continue to put pressure on mortgage rates and, in turn, the housing market.
Home Depot stock has traded sideways over the last five years, significantly underperforming the S&P 500, which has soared from the AI boom, and its earnings per share have fallen since then as well.
Based on its guidance, Home Depot trades at roughly 22 times this year's earnings, which is similar to the S&P 500.
Given that, Home Depot doesn't look like a buy right now, and won't be unless it gets much cheaper, or the housing market comes back to life. An S&P 500 index fund looks like a better option right now.
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Is Home Depot a Buy After Its Latest Report?

Key Points
Twenty of the Dow's 30 components rose, yet the index still finished the morning lower.
Home Depot rose after beating second-quarter estimates, though shoppers are choosing smaller projects.
The 10-year Treasury yield has climbed to 4.71% from 3.97% before the war with Iran began in February.
Twenty of the 30 Dow Jones Industrial Average (DJINDICES: ^DJI) stocks are up today. The Dow is down anyway. That tells you most of what you need to know about this session.
The Nasdaq Composite (NASDAQINDEX: ^IXIC) is down 1.02% as of 1:18 p.m. ET, and the S&P 500 (SNPINDEX: ^GSPC) has fallen 0.50%. The Dow may have the smallest drop, losing just 0.17%, but it's still below the breakeven bar.
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The Nasdaq took the worst of it early, hitting roughly negative 1.4% near 11 a.m. ET before clawing back some of the damage. The Dow has hovered near the flatline all day.
One bad day for two big stocks
Let's start with Caterpillar (NYSE: CAT), down 4.9% and single-handedly removing about 255 points from the Dow. The high-priced construction machinery giant is the second-heaviest weight on the Dow, so a mid-single-digit percentage move makes a big difference. Caterpillar is trading at historically rich earnings multiples. The stock is still up a staggering 103% over the last year.
The macro stage added drama, as usual. President Trump said he would not extend the expired ceasefire with Iran and repeated his threat to strike Oman. The U.S. Strategic Petroleum Reserve has fallen to its lowest level since 1982. Oil prices are up by roughly 0.5%.
Memory chips gave back Monday's celebration in full. SK Hynix (NASDAQ: SKHY) dropped 8.7% and Micron Technology (NASDAQ: MU) fell 7.5%, both more than erasing yesterday's gains. It's a profit-taking story, and Micron has still more than tripled in 2026.
Not everything struggled. Home Depot (NYSE: HD) rose after beating second-quarter estimates, though it noted shoppers are sticking to smaller projects amid lofty interest rates on loans and credit lines.
A very lopsided down day
Here is the number that matters most. Twenty of the Dow's 30 components are higher today. At the same time, the Invesco S&P 500 Equal Weight ETF (NYSEMKT: RSP) is essentially flat at positive 0.02% while cap-weighted versions of the same index dropped 0.5%. A handful of heavyweights accounted for the overall index's negative moves.
That's the mirror image of late July, when a few megacaps propped up indexes that most stocks were lacking. The machinery is the same; only the direction has flipped.
The deeper issue is that the 10-year Treasury yield has risen from 3.97% before the war with Iran began in February to 4.71% today. The 30-year hit 5.32%, the highest since 2007.
Higher oil feeds inflation, inflation lifts yields, and rising yields will compress the valuations of exactly the AI-related stocks that have driven this year's gains. Tech giants will keep building AI data centers, but their financing options are growing expensive.
Until that chain breaks, choppy sessions like this one will keep happening.
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Caterpillar Costs the Dow 255 Points and Most Stocks Barely Notice

As Lowe's Companies, Inc. LOW prepares to unveil its second-quarter fiscal 2026 earnings on Aug. 19, before the opening bell, investors are eager to see if the company can beat market expectations.
The Zacks Consensus Estimate for revenues stands at $26.14 billion, implying 9.1% growth from the prior year. Meanwhile, the consensus mark for earnings per share has fallen by a penny to $4.22 over the past seven days, which suggests a 2.5% decline from the year-ago period.
LOW has a trailing four-quarter earnings surprise of 2.3%, on average. In the last reported quarter, this Mooresville, NC-based company’s bottom line outperformed the Zacks Consensus Estimate by a margin of 2.4%.
What the Zacks Model Says About LOW’s Q2 Earnings
As investors prepare for Lowe’s second-quarter results, the question looms regarding an earnings beat or miss. Our proven model does not conclusively predict an earnings beat for Lowe’s this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. However, that’s not the case here.
Lowe’s has a Zacks Rank #4 (Sell) and an Earnings ESP of -0.91%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Lowe's Companies, Inc. Price, Consensus and EPS Surprise
Key Factors to Observe Ahead of LOW's Q2 Earnings
Lowe’s second-quarter performance is likely to have benefited from sustained demand, backed by focused merchandising and promotional execution. The company entered the quarter with strength in lawn and garden and other outdoor categories and planned to keep value and innovation at the center of its offers. A broad assortment of leading brands, healthy in-stock positions and convenient delivery options may have helped Lowe’s convert seasonal traffic across stores and digital channels. Management also highlighted the continued rollout of workwear and pet assortments, which could have provided an incremental sales opportunity during the quarter.
We believe continued momentum in Lowe’s Total Home strategy may also have supported the quarter. The Pro business remained a key area of strength, with small- and medium-sized professional customers continuing to engage in repair and maintenance projects despite the difficult housing backdrop. Investments in Pro Extended Aisle, localized assortments, improved fulfillment and digital tools have expanded the company’s ability to serve these customers while simplifying the purchasing process. At the same time, enhancements to online shopping, same-day delivery and the MyLowe’s loyalty platforms are likely to have encouraged customers.
Home services and operational improvements may have provided another layer of support. Lowe’s continued to gain traction with installation and replacement projects, particularly in categories where customers value speed, convenience and professional service. Appliances also remained well positioned because of the company’s broad brand assortment, omnichannel capabilities and fast delivery and installation network. Productivity initiatives across stores and the supply chain — including AI-enabled associate tools, faster replenishment and efforts to improve product availability — may have helped Lowe’s maintain service levels and capture demand more efficiently. The integration of Foundation Building Materials and Artisan Design Group also offered opportunities for procurement efficiencies and cross-selling while extending Lowe’s reach with professional and construction customers.
That said, Lowe’s is likely to have continued to face pressure from the broader home improvement environment. Elevated interest rates, high housing costs and subdued housing turnover have kept DIY demand under strain, particularly for larger discretionary projects, while lower-income consumers have remained cautious. These demand challenges were compounded by cost pressures, including higher transportation expenses and inflation in fuel and commodity-based products.
LOW Stock Price Performance
Lowe’s, which competes with The Home Depot, Inc. HD and Floor & Decor Holdings, Inc. FND, has seen its shares decline 0.6% over the past three months against the industry’s rise of 9.6%. Shares of Home Depot and Floor & Decor Holdings have advanced 12.1% and 28%, respectively.
Image Source: Zacks Investment Research
Does LOW Present a Strong Case for Value Investing?
Lowe’s valuation remains discounted relative to the industry. The stock currently trades at a forward 12-month P/E multiple of 16.64, below the industry average of 19.63. LOW is also trading below its own 12-month median P/E of 18.66, suggesting that the stock remains attractively valued relative to the industry and its recent historical range.
Lowe’s is trading at a discount to Home Depot (with a forward 12-month P/E ratio of 21.59) and Floor & Decor (26.24).
Final Words on Lowe’s Stock
Lowe’s enters the second-quarter earnings release with a mixed setup. Strength in Pro, online, home services and ongoing productivity initiatives could support sales, while its relatively attractive valuation may appeal to long-term investors. However, persistent weakness in discretionary DIY demand, housing-market pressures and elevated operating costs remain meaningful concerns. More importantly, the current earnings setup does not point convincingly toward an earnings beat, which limits the case for taking an aggressive position ahead of the report.
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This article originally published on Zacks Investment Research (zacks.com).

Lowe's Q2 Earnings Preview: Is LOW Ready to Surprise the Street?

Pre-market futures are in the red following a somewhat down trading day Monday. The Dow is -79 points at this hour, the S&P 500 is -39 and the tech-heavy Nasdaq is -405 points at this hour. The small-cap Russell 2000 is -11 points currently.
The 30-year bond yield (we usually talk in terms of 10-year and 2-year yields) reached its highest level in 19 years — pre-Great Recession financial collapse — this morning, currently sitting at +5.32%. The 10-year yield is now at a 19-month high — +4.74%, the highest on the second Trump administration — and the 2-year, while off the recent highs of four weeks ago, hovers around +4.20%.
Hopes for a peaceful resolution that would re-open the Strait of Hormuz have faded this week, and spot oil prices are ratcheting up again as a result. With Iran tightening ship traffic through the Strait today and Yemeni Houthis bombing a refinery at Saudi Aramco for the second time in two weeks, Brent crude is back above $91 per barrel (/bbl) again this morning; U.S.-based West Texas Intermediate (WTI) is at $85/bbl.
Housing Data Gets Cold in July
Ahead of today’s opening bell, Housing Starts for July came in below estimates: +1.239 million seasonally adjusted, annualized units — the lightest print since May — versus +1.35 million units expected and +1.42 million the prior month. Single-family homebuilding dropped -9.9% month over month and -16% year over year, while Multi-family homes — which had begun to come down in price due to historic expansion — are down -15.6% month over month.
Higher mortgage prices appear to once again be the culprit: +6.73% on the average 30-year fixed (and rising, if this morning’s 30-year bond yield has anything to say about it). The Midwest was hit hardest, -27.6% year over year, followed by the West, -13.8%, and the South, -12.6%. The Northeast remained the housing starts leader, +17.1% from one year ago.
Building Permits, something of a proxy for future Starts, were up +5% on a preliminary basis to 1.443 million seasonally adjusted, annualized units. This is the strongest read since February of this year, and only the third print in positive territory so far in 2026. If you’re looking for a silver lining in today’s housing data, this is it. Keep in mind, however, these preliminary numbers are subject to change in forthcoming reports.
Imports and Exports Down 2 Months Straight
Also for July, Import Prices dropped an unexpected -0.4% from the consensus estimate of +0.1%, and down from the big downward revision for June, which went from +0.3% initially to -0.3% this morning. Aside from two months of no Imports data in the fall of 2025, this is the first back-to-back negative monthly print since September of last year. Ex-petrol prices, the core numbers swings back up to +0.3%, so we see the direct effect of oil prices on the Import market. Year over year reached +5.9%, well below estimates.
Exports came in at -1.3% — the lowest monthly read in more than three years. It again was the first back-to-back negative print of the year; in fact, we haven’t seen this since late summer of 2024. Year over year, Exports dimmed to +8.2% from a downwardly revised +10% for June. It’s the second-straight month lower and the coolest level since March of this year.
Home Depot Beats Q2 Estimates
Speaking as we were of housing data, Home Depot HD demonstrates how it benefited from homeowners staying put and fixing up their current dwellings: earnings of $4.92 per share outpaced the $4.71 in the Zacks consensus, while revenues of $47.86 billion, up +1.88% from estimates. CEO Ted Decker is expected to return from his medical leave, according to the company’s CFO this morning. Shares are up +1.5% on the news, nearly bringing the stock back to breakeven for the year.
Radical New Technology Could Hand Investors Huge Gains
Quantum Computing is the next technological revolution, and it could be even more advanced than AI.
While some believed the technology was years away, it is already present and moving fast. Large hyperscalers, such as Microsoft, Google, Amazon, Oracle, and even Meta and Tesla, are scrambling to integrate quantum computing into their infrastructure.
Senior Stock Strategist Kevin Cook reveals 7 carefully selected stocks poised to dominate the quantum computing landscape in his report, Beyond AI: The Quantum Leap in Computing Power.
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This article originally published on Zacks Investment Research (zacks.com).

Housing Starts Come in Below Expectations

The Home Depot, Inc. HD has delivered solid second-quarter fiscal 2026 results, with the top and bottom lines surpassing the Zacks Consensus Estimate. Adjusted earnings were $4.92 per share, up 5.1% year over year from $4.68. The figure topped the Zacks Consensus Estimate of $4.71.
Net sales rose 5.7% year over year to $47.86 billion and beat the consensus mark of $47.46 billion. Comparable sales (comps) increased 1.7%, while the comparable average ticket climbed 2.8% and comparable customer transactions declined 1.0%. Our model predicted consolidated comps growth of 1.5% for the fiscal second quarter.
This Zacks Rank #3 (Hold) company’s shares have rallied 11.7% in the past three months compared with the industry’s 10.3% growth.
HD's Comparable Sales Gain as Ticket Rises
U.S. comparable sales advanced 1.3% year over year in the fiscal second quarter. The gain came as customer spending per transaction increased, while comparable transaction volume remained below the prior-year level.
Total customer transactions were 443.2 million, down 0.8% year over year, while average ticket increased to $92.50 from $90.01. Management noted that demand was broad-based with customers continuing to engage in smaller projects.
The Home Depot, Inc. Price, Consensus and EPS Surprise
Home Depot's Gross Profit Expands
Gross profit increased 6.5% year over year to $16.12 billion from $15.13 billion, supported by the higher sales. Cost of sales rose 5.3% to $31.75 billion, a slower pace than the increase in net sales, which aided the gross margin.
The gross margin expanded about 30 basis points (bps) to 33.7% from 33.4%, based on the reported sales and gross-profit figures. The spread between sales growth and cost-of-sales growth supported the year-over-year margin improvement. Our model predicted a 60-bps year-over-year decline in the gross margin to 32.8% for the fiscal second quarter.
HD's Operating Costs Rise Faster Than Sales
Selling, general and administrative (SG&A) expenses increased 8.5% year over year to $8.42 billion. Depreciation and amortization rose 5.7% to $852 million, while total operating expenses climbed 8.2% to $9.28 billion. Expense growth outpaced the pace of revenue expansion.
GAAP operating income increased 4.3% to $6.84 billion, but the operating margin slipped 20 bps to 14.3% from 14.5% in the year-ago quarter. Adjusted operating income rose 4.8% to $7.02 billion, while the adjusted operating margin edged down 10 bps to 14.7% from 14.8% in the year-ago quarter.
Our model predicted the SG&A expense rate to increase 20 bps year over year to 17.3%. We anticipated the adjusted operating income to drop 0.2% year over year and the operating margin to contract 70 bps to 14.1% for the fiscal second quarter.
Home Depot's Balance Sheet & Cash Flow
HD ended second-quarter fiscal 2026 with cash and cash equivalents of $2.09 billion, up from $1.39 billion at the start of fiscal 2026. Merchandise inventories were $26.85 billion, receivables were $6.96 billion and long-term debt, excluding current installments, stood at $43.95 billion. Stockholders' equity was $16.62 billion.
For the first six months of fiscal 2026, net cash provided by operating activities was $11.42 billion, up from $8.97 billion a year earlier. Working-capital changes contributed $570 million compared with a $1.82 billion use in the prior-year period. Capital expenditure totaled $1.72 billion, while payments for acquired businesses, net, were $1.33 billion.
Cash dividends totaled $4.64 billion for the first six months of fiscal 2026. The company also repaid $3.04 billion in long-term debt, contributing to $7.70 billion in net cash used in financing activities.
HD Reaffirms FY26 Outlook
Management reaffirmed its fiscal 2026 outlook, calling for total sales growth of 2.5-4.5% and comps growth of flat to 2%. The company also expects 15 new stores and capital expenditure of 2.5% of the total sales.
For fiscal 2026, Home Depot projects a gross margin of 33.1% and an operating margin of 12.4-12.6%, with an adjusted operating margin of 12.8-13%.
The company anticipates earnings per share to be flat to up 4% from $14.23 in the year-ago quarter. Meanwhile, adjusted earnings per share are also projected to be flat to up 4% from the $14.69 reported in the year-ago quarter.
The outlook also assumes an effective tax rate of 24.3% and net interest expenses of $2.3 billion. Guidance includes IEEPA tariff refunds, which are expected to partially offset unplanned fuel, energy and other product input costs. Adjusted earnings guidance excludes an expected after-tax impact of about 50 cents per share from acquired intangible asset amortization.
Key Picks in the Retail Space
Alliance Laundry Holdings Inc. ALH, which is the world's largest designer and manufacturer of commercial laundry systems, currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The Zacks Consensus Estimate for Alliance Laundry’s current financial-year sales and EPS indicates growth of 6.7% and 28.4%, respectively, from the year-ago reported numbers. ALH delivered a trailing four-quarter earnings surprise of 19.7%, on average.
Dollar Tree Inc. DLTR is an operator of discount variety stores offering a broad assortment of everyday consumables and discretionary merchandise. The company currently carries a Zacks Rank of 2.
The Zacks Consensus Estimate for Dollar Tree’s current financial-year sales and EPS indicates growth of 6.5% and 21.7%, respectively, from the year-ago reported numbers. DLTR delivered a trailing four-quarter earnings surprise of 32.1%, on average.
Dollar General Corporation DG is one of the largest discount retailers in the United States, selling low-priced merchandise, typically $10 or less. The company currently has a Zacks Rank of 2.
The Zacks Consensus Estimate for Dollar General’s current financial-year sales and EPS is expected to rise 3.9% and 7.6%, respectively, from the year-ago reported figures. DG delivered a trailing four-quarter earnings surprise of 21%, on average.
Radical New Technology Could Hand Investors Huge Gains
Quantum Computing is the next technological revolution, and it could be even more advanced than AI.
While some believed the technology was years away, it is already present and moving fast. Large hyperscalers, such as Microsoft, Google, Amazon, Oracle, and even Meta and Tesla, are scrambling to integrate quantum computing into their infrastructure.
Senior Stock Strategist Kevin Cook reveals 7 carefully selected stocks poised to dominate the quantum computing landscape in his report, Beyond AI: The Quantum Leap in Computing Power.
Kevin was among the early experts who recognized NVIDIA's enormous potential back in 2016. Now, he has keyed in on what could be "the next big thing" in quantum computing supremacy. Today, you have a rare chance to position your portfolio at the forefront of this opportunity.
See Top Quantum Stocks Now >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
This article originally published on Zacks Investment Research (zacks.com).

Home Depot Q2 Earnings Beat Estimates as Sales & Ticket Rise

For the quarter ended July 2026, Home Depot (HD) reported revenue of $47.86 billion, up 5.7% over the same period last year. EPS came in at $4.92, compared to $4.68 in the year-ago quarter.
The reported revenue represents a surprise of +1.33% over the Zacks Consensus Estimate of $47.23 billion. With the consensus EPS estimate being $4.71, the EPS surprise was +4.46%.
While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.
As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.
Here is how Home Depot performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
Comparable store sales - YoY change: 1.7% compared to the 1% average estimate based on nine analysts.
Number of stores - Retail: 2,364 compared to the 2,365 average estimate based on six analysts.
Sales per store: $20.25 million compared to the $19.35 million average estimate based on four analysts.
Comparable store sales - U.S. - YoY change: 1.3% versus the three-analyst average estimate of 1%.
Number of customer transactions - Retail: 443.2 million versus 439.99 million estimated by two analysts on average.
Average ticket - Retail: $92.50 versus the two-analyst average estimate of $92.48.
Shares of Home Depot have returned +1.5% over the past month versus the Zacks S&P 500 composite's +4% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.
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Here's What Key Metrics Tell Us About Home Depot (HD) Q2 Earnings

(RTTNews) - The Home Depot, Inc. (HD) announced Tuesday the nationwide rollout of Express Delivery, bringing rapid fulfillment to millions of Pro and DIY customers for a small flat fee across U.S. markets, with no subscription or membership required.
Express Delivery leverages more than 2,000 Home Depot U.S. stores that function as neighborhood fulfillment hubs, delivering trade-grade products and everyday DIY essentials in three hours or less.
It delivers thousands of SKUs across plumbing, electrical, hardware, paint, tools, and everyday project supplies straight from local stores to the doorstep or job site. Shoppers can view Express Delivery eligibility on product pages and in the cart at checkout.
The Home Depot's Express Delivery reinforces the company's position as the fastest delivery provider in home improvement.

Home Depot Launches Nationwide Express Delivery For Pro And DIY Customers

(RTTNews) - Home Depot, Inc. (HD), a retailer of home improvement products, including appliances, bathroom decorating items, kitchen remodeling, power tools, and many others, on Tuesday reaffirmed its annual growth outlook.
The guidance includes IEEPA tariff refunds, which are expected to partially offset unplanned fuel, energy, and other product input costs throughout the fiscal year, the company said.
For fiscal 2026, Home Depot still anticipates net earnings per share growth to be in the range of flat to 4% from $14.23 per share in fiscal 2025. The company continues to expect adjusted earnings to grow around flat to 4% from $14.69 per share last year.
The home improvement retailer still projects total sales growth to be in the range of around 2.5% to 4.5% and comparable sales growth of approximately flat to 2%.
For fiscal 2025, the company had reported total sales of $164.7 billion.
HD was up by 1.54% at $343.35 in the pre-market trade on the New York Stock Exchange.

Home Depot Backs Annual Growth Outlook

(RTTNews) - Home Depot, Inc. (HD) released a profit for its second quarter that Increases, from last year
The company's bottom line came in at $4.766 billion, or $4.79 per share. This compares with $4.551 billion, or $4.58 per share, last year.
Excluding items, Home Depot, Inc. reported adjusted earnings of $4.92 per share for the period.
The company's revenue for the period rose 5.7% to $47.861 billion from $45.277 billion last year.
Home Depot, Inc. earnings at a glance (GAAP) :
-Earnings: $4.766 Bln. vs. $4.551 Bln. last year. -EPS: $4.79 vs. $4.58 last year. -Revenue: $47.861 Bln vs. $45.277 Bln last year.
-Guidance: Full year EPS guidance: 4.0 % Full year revenue guidance: 2.5 % To 4.5 %
Adjusted(1) diluted earnings-per-share to grow approximately flat to 4.0% from $14.69 in fiscal 2025

Home Depot, Inc. Q2 Income Advances

Key Points
Realty Income's real estate empire has paid rising dividends for decades.
The Home Depot constantly rakes in cash from homeowners and contractors.
Philip Morris International could still have its brightest years ahead, thanks to smoke-free nicotine products.
If you want your stocks to pay you to hold them, dividend investing is for you. And the best way to find fantastic dividend stocks is to, well, follow the money. I mean that literally.
When companies consistently generate more cash profits than they need to reinvest in the business, they tend to distribute the excess to shareholders as dividends. The best dividend-paying companies will even raise that amount year in and year out.
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Consumer-facing companies are fertile ground for dividends. Not only is consumer spending the largest contributor to America's economy, but this is the space where companies with strong brands and long track records of success tend to have staying power.
Here are three money-printing machines that investors can confidently buy and hold for the long term.
1. A monthly cash machine
Realty Income (NYSE: O) serves as the landlord for thousands of consumer-facing tenants, including restaurants, pharmacies, grocery and convenience stores, and more. As a real estate investment trust (REIT), Realty Income acquires properties to lease out, then distributes most of its taxable income to investors as nonqualified dividends.
Unlike most companies, Realty Income pays a monthly dividend, something it's actually become famous for. The company has also raised its dividend for over 31 consecutive years, and the payout remains well funded at just 73% of guided 2026 funds from operations. That dividend growth streak includes recessions and the COVID-19 pandemic, a testament to the company's strong fundamentals.
The stock also yields more than 5.1%, so investors get immediate sizable income. Investors looking for a money-printing business with a dividend to match can't go wrong by adding Realty Income to their portfolio. It's a no-brainer for anyone looking for monthly cash hitting their account.
2. Cashing in on the housing market
In another corner of the real estate universe, The Home Depot (NYSE: HD) rakes in cash from a lucrative U.S. housing market worth more than $55 trillion. The world's largest home improvement retailer sells products and supplies to professionals and do-it-yourself customers looking to build or remodel homes.
Home Depot is somewhat sensitive to recessions, as consumers pull back from big projects when times are tough. The company does navigate this well and has increased its dividend for 17 consecutive years. The dividend also has plenty of financial breathing room at 64% of Home Depot's cash flow.
The stock currently yields 2.7%, a respectable starting point for income-hungry investors. Analysts estimate that Home Depot will grow earnings at a mid-single-digit rate going forward, so shareholders should continue to see the dividend climb as the business continues to print money.
3. Cashing in on smoke-free products
There may not be a more resilient industry than tobacco. Even though smoking rates are declining in many countries worldwide, Philip Morris International (NYSE: PM) has arguably never been better. The world's largest publicly traded tobacco company sells Marlboro outside the United States and boasts a stellar portfolio of smoke-free products, including Iqos and Zyn.
Philip Morris was one of the early movers in smoke-free nicotine, and that move has paid off. Iqos kickstarted the world's heat-not-burn category, and its 2022 acquisition of Swedish Match brought the leading oral nicotine salt product, Zyn, under its roof. Meanwhile, the stock has continued to pay and raise its dividend every year since it began trading in 2008, following its separation from Altria Group.
The dividend yields 3.1% and consumes approximately 71% of the company's cash flow. Resilient pricing power in combustible cigarettes, combined with growth in smoke-free products, has analysts calling for earnings growth averaging 10% annually over the next three to five years. That should help Philip Morris pad its current dividend obligations and fund future increases for years to come.
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Justin Pope has positions in Philip Morris International. The Motley Fool has positions in and recommends Home Depot and Realty Income. The Motley Fool recommends Philip Morris International. The Motley Fool has a disclosure policy.
Founded in 1993 in Alexandria, VA., by brothers David and Tom Gardner, The Motley Fool is a multimedia financial-services company dedicated to building the world's greatest investment community. Reaching millions of people each month through its website, books, newspaper column, radio show, television appearances, and subscription newsletter services, The Motley Fool champions shareholder values and advocates tirelessly for the individual investor. The company's name was taken from Shakespeare, whose wise fools both instructed and amused, and could speak the truth to the king -- without getting their heads lopped off.