Home Depot and Lowe's to Report Q1 Results on May 19 and 20
Written by Emily J. Thompson, Senior Investment Analyst
Updated: May 18 2026
0mins
Home improvement retailers Home Depotand Lowe'sare scheduled to report results of their first quarters before the market open on Tuesday, May 19, and Wednesday, May 20, respectively. Home Depot's conference call is scheduled for 9:00 am EDT on Tuesday and Lowe's will hold its quarterly call on Wednesday at 9:00 am EDT. What to watch for:HOUSING MARKET COMMENTARY:Economic uncertainty coupled with rising building material costs and interest rates resulted in a sharp decline in builder sentiment in April as the housing market enters into the heart of the spring buying season. Builder confidence in the market for newly built single-family homes fell four points to 34 in April, according to the National Association of Home Builders/Wells Fargo Housing Market Index released on April 15. This is the lowest level since September 2025. "Builder sentiment has fallen back in spring as buyers face ongoing elevated interest rates and growing economic uncertainty," said NAHB Chairman Bill Owens. "The year started with hopes for housing momentum growth, but risks with respect to the Iran war, energy costs, and declines for consumer confidence have slowed the market."OUTLOOK:In February, Home Depot forecast fiscal 2026 adjusted EPS flat to up 4% from $14.69, while revenue is expected to be up 2.5%-4.5% and comparable sales are forecast to be flat to up 2%. Analysts currently expect FY26 EPS of $15.05 on revenue of $171.13B.Lowe's, meanwhile, forecast FY26 adjusted EPS of $12.25-$12.75 on revenue of $92B-$94B and comparable sales flat to up 2%. Analysts currently expect FY25 EPS of $12.61 on revenue of $93.08B. Lowe's said its FY26 outlook reflects "ongoing uncertainty in the home improvement market."Ahead of Q1 earnings reports from the home improvement retailers, Stifel reduced its Q2-Q4 comparable sales estimates to assume a more stagnant performance, reflecting its "incremental caution" about near-term prospects, bringing its FY26 comparable sales in-line with consensus.'SUBDUED' EXPECTATIONS:Last week, Bernstein lowered the firm's price target on Lowe's and Home Depot, telling investors that expectations remain subdued for both companies. Bernstein expects higher comparable sales from Home Depot as the SRS acquisition gives it exposure to benefit from snowstorm-related repair/maintenance activities. For the full year, the firm doesn't expect Home Depot and Lowe's to update guidance just yet, as both contemplated a wide range of scenarios.Citi said that while the consumer has remained "resilient," concerns are higher around weakness going forward. The firm sees mostly in-line to slightly above the Street estimate Q1 reports.DISCRETIONARY 'OUT OF FAVOR':Wells Fargo said that discretionary is out of favor, recent checks were soft and guiding for a second half of the year acceleration is treated as a punishable offense. Nearly every company in Wells' Hardlines coverage is down year-to-date as stimulus hopes fade, oil prices spike and underlying trends weak, the firm said last week.SENTIMENT:Check out recent Media Buzz Sentiment forandas measured by TipRanks.
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Analyst Views on HD
Wall Street analysts forecast HD stock price to rise
23 Analyst Rating
17 Buy
5 Hold
1 Sell
Moderate Buy
Current: 309.950
Low
320.00
Averages
401.47
High
441.00
Current: 309.950
Low
320.00
Averages
401.47
High
441.00
About HD
The Home Depot, Inc. is a home improvement retailer. It offers its customers an assortment of home improvement products, building materials, lawn and garden products, decor products, and facilities maintenance, repair, and operations (MRO) products, in stores and online. It also provides a number of services, including home improvement installation services, and tool and equipment rental. It operates over 2,359 stores located throughout the U.S. (including the Commonwealth of Puerto Rico and the territories of the U.S. Virgin Islands and Guam), Canada, and Mexico. Its stores average over 104,000 square feet of enclosed space, with over 24,000 additional square feet of outside garden area. It also maintains a network of distribution and fulfillment centers, as well as mobile applications and e-commerce websites in the U.S., Canada, and Mexico. It serves two primary customer groups, including both do-it-yourself (DIY) and do-it-for-me (DIFM) customers and professional customers (Pros).
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Home Depot Performance Analysis and Investment Advice
- Same-Store Sales Weakness: In the first quarter of fiscal 2026 (ending May 3), Home Depot's same-store sales grew by only 0.6%, as higher ticket sizes were offset by lower traffic, indicating a lack of consumer demand and potential market weakness.
- Market Environment Challenges: Facing cyclical challenges due to high mortgage rates and inflationary pressures, Home Depot is experiencing limited growth as consumer confidence in spending on upgrades and renovations wanes, reflecting the uncertainty in the macroeconomic landscape.
- Dividend Appeal: Despite its shares trading 28% below their peak, Home Depot's 3% dividend yield may still attract income-focused investors; however, careful evaluation of its performance metrics is essential before making investment decisions.
- Cautious Investment Advice: Analysts have noted that Home Depot was not included in the current list of top investment stocks, suggesting a cautious outlook on its future performance, prompting investors to consider other potential high-return stocks.
See More
Home Depot Q1 Performance Analysis
- Same-Store Sales Weakness: For the fiscal Q1 ending May 3, Home Depot reported a mere 0.6% growth in same-store sales, where increased ticket sizes could not compensate for decreased foot traffic, indicating consumer hesitance in making significant expenditures amid economic uncertainty.
- Historical Sales Trends: This growth rate is lower than the 0.3% increase in fiscal 2025 and a 1.8% decline in fiscal 2024, suggesting that the company continues to struggle with persistent high mortgage rates and inflationary pressures, which could adversely affect future profitability.
- Declining Market Performance: Home Depot's shares are currently trading 28% below their peak, which may prompt investors to consider buying; however, without improvements in same-store sales, investors should carefully assess the stock's investment value.
- Dividend Appeal: Despite facing challenges, Home Depot's 3% dividend yield may attract income-focused investors, particularly in an uncertain economic environment where dividends become a crucial consideration for investment decisions.
See More
Sales Outlook for Home Depot and PepsiCo
- Home Depot's Market Dominance: Home Depot generated $164.7 billion in sales in the latest fiscal year, nearly double that of its nearest competitor Lowe's at $86.3 billion, establishing a strong position in the home improvement retail market, although recent sales growth has slowed due to high interest rates and inflation.
- Acquisition Expansion Strategy: Home Depot plans to acquire SRS Distribution for $18.3 billion in 2024, followed by a $5.5 billion purchase of GMS, demonstrating its focus on the professional market and aiming to enhance market share through expanded service offerings.
- PepsiCo's Pricing Strategy: PepsiCo's selective price reductions have led to a 2.6% year-over-year sales increase in the first quarter, indicating that management's strategy effectively boosted consumer purchasing willingness, showcasing the company's adaptability under economic pressures.
- Attractive Investment Opportunity: Home Depot's P/E ratio has decreased from 25 to 22, slightly below its 10-year average of 23, combined with its strong market position, making it an appealing choice for long-term investors despite facing short-term volatility.
See More
Investment Potential of Home Depot and PepsiCo
- Home Depot's Market Dominance: Home Depot generated $164.7 billion in sales in the latest fiscal year, nearly double that of its closest competitor Lowe's, showcasing its dominance in the home improvement retail sector; despite sluggish sales growth due to high interest rates and inflation, its strong market position and attractive valuation make it an ideal choice for long-term investors.
- Acquisition Strategy: Home Depot's acquisition of SRS Distribution for $18.3 billion in 2024, followed by a $5.5 billion purchase of GMS, further solidifies its penetration into the professional customer market, which is expected to drive future sales growth.
- PepsiCo's Sales Growth: PepsiCo's first-quarter adjusted sales grew 2.6% year-over-year; despite facing consumer spending pressures, the company's selective price reduction strategy successfully stimulated demand, indicating effective management responses.
- Attractive Valuation: PepsiCo's P/E ratio stands at 22, up from last year, yet still below its long-term historical average of 26; combined with strong brand power and pricing strategies, the stock is poised to deliver substantial returns for long-term shareholders.
See More
Home Depot and PepsiCo's Market Potential Amid Economic Challenges
- Home Depot's Market Dominance: Home Depot generated $164.7 billion in sales in the latest fiscal year, nearly double that of its nearest competitor, Lowe's at $86.3 billion, showcasing its leading position in the home improvement retail sector, although sales growth is pressured by high interest rates and inflation.
- Acquisition Expansion Strategy: Home Depot plans to acquire SRS Distribution for $18.3 billion in 2024, followed by a $5.5 billion purchase of GMS, aiming to strengthen its position in the professional market, despite same-store sales growth being flat in the short term.
- PepsiCo's Product Diversity: PepsiCo offers a wide range of products beyond beverages, with first-quarter sales growing 2.6% year-over-year, indicating that management's selective price reduction strategy has successfully stimulated consumer demand, despite a challenging economic backdrop.
- Attractive Valuation for Investment: PepsiCo's P/E ratio stands at 22, below its long-term historical average of 26, and combined with its strong brand presence and pricing strategies, it is expected to deliver solid returns for long-term investors, even as its stock performance lags behind the S&P 500.
See More
Analysis of VTI ETF's 52-Week Price Fluctuations
- Price Range Analysis: The VTI ETF's 52-week low is $291.069 per share, with a high of $374.70, and a recent trading price of $371.93, indicating stability near its high, which may attract investor interest.
- Technical Analysis Tool: Comparing the current share price to the 200-day moving average can provide valuable insights for investors, helping to assess market trends and potential buying opportunities.
- ETF Trading Mechanism: Exchange-traded funds (ETFs) trade like stocks, where investors buy and sell 'units' that can be created or destroyed based on demand, impacting the fund's liquidity and market performance.
- Inflows and Outflows Monitoring: Weekly monitoring of changes in shares outstanding for ETFs helps identify those experiencing significant inflows or outflows, as these liquidity changes can affect the performance of the underlying stocks held within the ETFs.
See More
Home Depot Performance Analysis and Investment Advice
- Same-Store Sales Weakness: In the first quarter of fiscal 2026 (ending May 3), Home Depot's same-store sales grew by only 0.6%, as higher ticket sizes were offset by lower traffic, indicating a lack of consumer demand and potential market weakness.
- Market Environment Challenges: Facing cyclical challenges due to high mortgage rates and inflationary pressures, Home Depot is experiencing limited growth as consumer confidence in spending on upgrades and renovations wanes, reflecting the uncertainty in the macroeconomic landscape.
- Dividend Appeal: Despite its shares trading 28% below their peak, Home Depot's 3% dividend yield may still attract income-focused investors; however, careful evaluation of its performance metrics is essential before making investment decisions.
- Cautious Investment Advice: Analysts have noted that Home Depot was not included in the current list of top investment stocks, suggesting a cautious outlook on its future performance, prompting investors to consider other potential high-return stocks.
See More
Home Depot Q1 Performance Analysis
- Same-Store Sales Weakness: For the fiscal Q1 ending May 3, Home Depot reported a mere 0.6% growth in same-store sales, where increased ticket sizes could not compensate for decreased foot traffic, indicating consumer hesitance in making significant expenditures amid economic uncertainty.
- Historical Sales Trends: This growth rate is lower than the 0.3% increase in fiscal 2025 and a 1.8% decline in fiscal 2024, suggesting that the company continues to struggle with persistent high mortgage rates and inflationary pressures, which could adversely affect future profitability.
- Declining Market Performance: Home Depot's shares are currently trading 28% below their peak, which may prompt investors to consider buying; however, without improvements in same-store sales, investors should carefully assess the stock's investment value.
- Dividend Appeal: Despite facing challenges, Home Depot's 3% dividend yield may attract income-focused investors, particularly in an uncertain economic environment where dividends become a crucial consideration for investment decisions.
See More
Sales Outlook for Home Depot and PepsiCo
- Home Depot's Market Dominance: Home Depot generated $164.7 billion in sales in the latest fiscal year, nearly double that of its nearest competitor Lowe's at $86.3 billion, establishing a strong position in the home improvement retail market, although recent sales growth has slowed due to high interest rates and inflation.
- Acquisition Expansion Strategy: Home Depot plans to acquire SRS Distribution for $18.3 billion in 2024, followed by a $5.5 billion purchase of GMS, demonstrating its focus on the professional market and aiming to enhance market share through expanded service offerings.
- PepsiCo's Pricing Strategy: PepsiCo's selective price reductions have led to a 2.6% year-over-year sales increase in the first quarter, indicating that management's strategy effectively boosted consumer purchasing willingness, showcasing the company's adaptability under economic pressures.
- Attractive Investment Opportunity: Home Depot's P/E ratio has decreased from 25 to 22, slightly below its 10-year average of 23, combined with its strong market position, making it an appealing choice for long-term investors despite facing short-term volatility.
See More
Investment Potential of Home Depot and PepsiCo
- Home Depot's Market Dominance: Home Depot generated $164.7 billion in sales in the latest fiscal year, nearly double that of its closest competitor Lowe's, showcasing its dominance in the home improvement retail sector; despite sluggish sales growth due to high interest rates and inflation, its strong market position and attractive valuation make it an ideal choice for long-term investors.
- Acquisition Strategy: Home Depot's acquisition of SRS Distribution for $18.3 billion in 2024, followed by a $5.5 billion purchase of GMS, further solidifies its penetration into the professional customer market, which is expected to drive future sales growth.
- PepsiCo's Sales Growth: PepsiCo's first-quarter adjusted sales grew 2.6% year-over-year; despite facing consumer spending pressures, the company's selective price reduction strategy successfully stimulated demand, indicating effective management responses.
- Attractive Valuation: PepsiCo's P/E ratio stands at 22, up from last year, yet still below its long-term historical average of 26; combined with strong brand power and pricing strategies, the stock is poised to deliver substantial returns for long-term shareholders.
See More
Home Depot and PepsiCo's Market Potential Amid Economic Challenges
- Home Depot's Market Dominance: Home Depot generated $164.7 billion in sales in the latest fiscal year, nearly double that of its nearest competitor, Lowe's at $86.3 billion, showcasing its leading position in the home improvement retail sector, although sales growth is pressured by high interest rates and inflation.
- Acquisition Expansion Strategy: Home Depot plans to acquire SRS Distribution for $18.3 billion in 2024, followed by a $5.5 billion purchase of GMS, aiming to strengthen its position in the professional market, despite same-store sales growth being flat in the short term.
- PepsiCo's Product Diversity: PepsiCo offers a wide range of products beyond beverages, with first-quarter sales growing 2.6% year-over-year, indicating that management's selective price reduction strategy has successfully stimulated consumer demand, despite a challenging economic backdrop.
- Attractive Valuation for Investment: PepsiCo's P/E ratio stands at 22, below its long-term historical average of 26, and combined with its strong brand presence and pricing strategies, it is expected to deliver solid returns for long-term investors, even as its stock performance lags behind the S&P 500.
See More
Analysis of VTI ETF's 52-Week Price Fluctuations
- Price Range Analysis: The VTI ETF's 52-week low is $291.069 per share, with a high of $374.70, and a recent trading price of $371.93, indicating stability near its high, which may attract investor interest.
- Technical Analysis Tool: Comparing the current share price to the 200-day moving average can provide valuable insights for investors, helping to assess market trends and potential buying opportunities.
- ETF Trading Mechanism: Exchange-traded funds (ETFs) trade like stocks, where investors buy and sell 'units' that can be created or destroyed based on demand, impacting the fund's liquidity and market performance.
- Inflows and Outflows Monitoring: Weekly monitoring of changes in shares outstanding for ETFs helps identify those experiencing significant inflows or outflows, as these liquidity changes can affect the performance of the underlying stocks held within the ETFs.
See More
