Overview
- Home Depot reported first‑quarter fiscal 2026 results on Tuesday, posting revenue of about $41.77 billion and adjusted EPS of $3.43, slightly above Wall Street forecasts.
- Comparable‑store sales rose only 0.6% overall and 0.4% in the U.S., while customer transactions fell 1.3% and the average ticket rose to $92.76, signaling fewer but larger purchases.
- Management kept fiscal 2026 guidance intact for total sales growth of 2.5% to 4.5% and comparable sales of flat to +2%, and said homeowners continue to postpone larger renovation work.
- The company is expanding its professional‑customer business, which accounts for roughly half of revenue, through acquisitions including SRS, GMS and the recent Mingledorff’s deal to win more contractor business.
- Investors reacted negatively despite the beat: shares briefly hit a two‑year low after the report, several analysts trimmed price targets, and the stock remains down year‑to‑date, raising questions about near‑term growth drivers.