Home Depot is set to report its earnings before the bell. Here's what to expect
The home improvement retailer's fourth-quarter results will indicate whether pandemic trends and the real estate market continue to lift sales.
, as they seek more space or take advantage of low interest rates.At Home Depot, that has boosted business. Its U.S. same-store sales grew by about 25% in the second and third quarters, as consumers visited the retailer's stores and website more and spent more money. Its digital sales rose 80% year over year in the third quarter, with customers picking up most of those online orders at stores.
Analysts expect Home Depot's same-store sales will grow by 19.2% in the fourth quarter, a large gain but slower rate than the peak of the pandemic, according to a StreetAccount survey.Home Depot has not provided an outlook for the year. It faces tough comparisons in the coming quarters because of the big numbers it put up during the pandemic. It may have to work harder for wallet share, too, as consumers get Covid-19 vaccines and spend weekends out to dinner or on vacation instead of painting or doing repair projects. Its sales could be buoyed, however, by a rebound of home professionals' businesses, as consumers feel more comfortable inviting people into their houses and pay for projects they put off or couldn't tackle on their own.
About 45% of Home Depot's sales come from pros, such as plumbers, electricians and contractors, with the rest coming from do-it-yourself customers. That's a higher percentage from rival, which gets 20% to 25% of its sales from pros. Home Depot also counts larger home professionals as clients. headtopics.com
Home Depot could build on that advantage with HD Supply. Itacquired the former unit of the company and large industrial products distributorin November in a deal valued at $8 billion.As of Monday's close, Home Depot's shares are up more than 12% from a year ago. The company's market value is $296.98 billion.
This story is developing and will be updated. Read more: CNBC »
Statements on Passing of Michael Collins
The following is a statement from acting NASA Administrator Steve Jurczyk on the passing of Michael Collins:
$15 minimum wage will hurt small minority owned businesses the worst.