Home Depot says tariffs will lead to price increases
Digest more
Home Depot costs up
Digest more
Home Depot (HD) reported second quarter results that missed on revenue, earnings, and same-store sales growth. Yet shares are rising in pre-market trading on hopes that consumers focusing on small home improvement projects could benefit the retailer.
The company's full-year forecast assumes no substantial change in the number of consumers revamping their homes.
Home Depot’s sales improved during its fiscal second quarter as consumers remained focused on smaller projects amid cost concerns, but its performance missed Wall Street’s expectations
In Q1, Home Depot experienced solid demand for smaller projects and seasonal activities; however, high interest rates deterred many consumers
The Dow Jones Industrial Average is outpacing the other indexes on Tuesday, potentially on its way to a new record. The Dow was trading at 45,176.19, up about 0.6% on Tuesday. Part of this bump was due to the jump in shares from Home Depot.
The home-improvement chain is now one of the companies most caught up in Trump's immigration crackdown. The retailer's history with day laborers is long. So far, it's choosing to keep its distance.
Home Depot customers are putting their kitchen remodels and bathroom upgrades on hold as they turn instead to smaller projects that can be funded in cash, like painting and yard improvements, said Home Depot execs.
Home Depot kept its annual forecasts intact despite posting muted quarterly results on Tuesday, but said some products may see small price hikes due to tariffs after previously suggesting they would generally not change.
Feedback