HOME DEPOT (HD) Company Report

$1.1 trillion total addressable market in North America with only ~15% share; growth strategy centered on driving core culture, a frictionless omnichannel experience, and winning the Pro customer.
Reaffirmed fiscal 2025 guidance: ~3% total sales growth, slight positive comp sales, gross margin ~33.2%, adjusted operating margin ~13%, and adjusted EPS down ~5% year-over-year.
Provided preliminary 2026 outlook: home improvement market could range from –1% to +1%; comp sales flat to +2%; total sales up 2.5–4.5%; adjusted operating margin ~13%; and adjusted EPS growth ~4%.
Accelerating Pro ecosystem investments: over 1,500 dedicated Pro sales resources, 7,000 Pros on trade credit driving a 30% spend lift, and delivery network expansion into 18 new markets via the Relay program.

Dec 9, 2025, 1:30 PM

Transcript

Home Depot presents Investor Day 2025 strategy and outlook

Guidance Update

New Projects/Investments

Demand Weakening

Growth strategy centers on driving the core store network, delivering a frictionless interconnected digital and physical experience, and winning share with professional customers through Home Depot, SRS, and HD Supply platforms.
Market opportunity spans a $1.1 trillion addressable market with only ~15% share; long-term demand is supported by $16 trillion home equity gains since 2019, 55% of homes over 40 years old, and ~$20 billion of pent-up remodeling need.
Financial outlook: reaffirmed 2025 guidance of ~3% total sales growth, slight positive comp growth, 33.2% gross margin, 12.6% operating margin, and ~6% EPS decline; 2026 preliminary outlook assumes a home improvement market down 1% to up 1%, flat to +2% comps, 2.5–4.5% total sales growth, ~13% adjusted operating margin, and ~4% adjusted EPS growth.
Investment priorities include maintaining CapEx at ~2.5% of sales, opening 15–20 new stores per year, and advancing store experience, supply-chain automation, AI applications, and digital tools such as MyApron and an enhanced mobile app.
Risks stem from elevated mortgage rates (30-year at ~6.3%), limited housing turnover, affordability constraints, and broader macroeconomic uncertainty, which are expected to pressure home improvement demand into 2026.

Dec 9, 2025, 1:30 PM

Transcript

Home Depot outlines growth strategy and pro-focused expansion at Investor Day 2025

Guidance Update

New Projects/Investments

Revenue Acceleration/Inflection

Home Depot targets share gain in a $1.1 trillion North American home improvement market in which it holds only ~15% share, leveraging 2,350 stores, the 6th-largest e-commerce site, and an unmatched supply chain network.
The company plans to open 15–20 new stores annually and enhance its omnichannel experience—e-commerce exceeded $25 billion in sales—focusing on faster delivery and a frictionless customer journey.
Expanded distribution with ~20 DFCs, 160 MDOs, and 17 FDCs has driven over 50% of stocked-product deliveries to be same- or next-day, with delivered sales representing 30% of total sales.
To accelerate its Pro segment, Home Depot is rolling out six wholesale capabilities—including jobsite delivery and trade credit—and will add 40–50 SRS/GMS branches per year to deepen contractor partnerships.
Management targets 4–5% comp sales growth in a housing market recovery while pursuing billions in productivity savings through AI and automation.

Dec 9, 2025, 1:30 PM

Transcript

Home Depot projects 2.5-4.5% sales growth in fiscal 2026

Guidance Update

M&A

New Projects/Investments

Home Depot reaffirmed its fiscal 2025 outlook, forecasting ~3% revenue growth and a 5–6% decline in earnings per share versus fiscal 2024
For fiscal 2026, the company anticipates 2.5–4.5% revenue growth, flat to 2% comparable sales growth, and 12.8–13% adjusted operating margins
Management highlighted potential acceleration from easing housing market pressures and pent-up demand, supported by recent acquisitions and partnerships such as GMS, SRS, Interline Brands, and HD Supply
Home Depot plans to invest ~2.5% of total sales in capital expenditures to support growth and infrastructure

Dec 9, 2025, 11:33 AM

Bloomberg

Home Depot reaffirms FY2025 guidance and outlines FY2026 outlook

Guidance Update

Reaffirmed FY2025 guidance: expects ~3% total sales growth, gross margin ~33.2%, operating margin ~12.6%, and diluted EPS down ~6% from $14.91.
Preliminary FY2026 outlook: forecasts 2.5–4.5% total sales growth, operating margin of 12.4–12.6%, and diluted EPS flat to +4%.
Market recovery case: projects 5–6% total sales growth, 4–5% comparable sales growth, and mid-to-high-single-digit EPS growth under a housing rebound.

Dec 9, 2025, 11:00 AM

Press Release

Home Depot launches AI-powered Blueprint Takeoffs tool

Product Launch

The Home Depot launched the Blueprint Takeoffs tool, an AI-powered solution that delivers faster, more accurate material lists and cost estimates for single-family projects.
The tool generates complete project quotes within days—a process that previously took weeks—simplifying procurement through a single supplier and reducing complexity for professional renovators and builders.
It is integrated into The Home Depot’s Pro suite—including trade credit, order management and delivery, project planning, account management, and dedicated support—to streamline the entire project lifecycle for Pros.
Pros can access the solution via their Outside Sales Representative or the in-store Pro Desk to receive tailored estimates and expert guidance at every step.

Nov 19, 2025, 12:00 PM

Press Release

Home Depot reports Q3 2026 results

Earnings

Guidance Update

M&A

Q3 sales were $41.4 billion, up 2.8% YoY, with comp sales +0.2% (U.S. +0.1%); adjusted EPS was $3.74 vs. $3.78 last year.
Acquired GMS in September, adding ~$900 million in Q3 sales and expected to contribute $2 billion to FY2025 sales.
Q3 gross margin held at 33.4%, operating margin fell to 12.9% (adjusted 13.3%), as operating expenses rose 55 bps to 20.5%, including transaction fees.
Revised FY2025 guidance to ~3% total sales growth with slight positive comps, gross margin ~33.2%, operating margin ~12.6% and adjusted operating margin ~13%.

Nov 18, 2025, 2:00 PM

Transcript

Home Depot reports Q3 2026 results

Earnings

Guidance Update

Demand Weakening

Sales of $41.4 billion, +2.8% YoY; comp sales +0.2%; adjusted EPS $3.74 vs $3.78 prior year.
Gross margin flat at 33.4%; operating margin 12.9% (adjusted 13.3%), pressured by GMS acquisition fees and no storm-related demand.
FY25 guidance updated: sales +3%, comps slightly positive; gross margin ~33.2%, operating margin ~12.6% (adjusted 13%); adjusted EPS down ~5–6% vs FY24.
Lack of storm activity and housing uncertainty slowed demand, with storm-adjusted comps ~1% in Q2/Q3; SRS comps flat but gaining share amid roofing shipment declines.

Nov 18, 2025, 2:00 PM

Transcript

Home Depot reports Q3 2026 results

Earnings

Guidance Update

M&A

Q3 sales were $41.4 billion, up 2.8% year-over-year; comp sales grew 0.2% (U.S. comps +0.1%), and adjusted diluted EPS was $3.74 versus $3.78 a year ago.
In September, SRS completed the acquisition of GMS, contributing approximately $900 million of sales (eight weeks) in Q3.
Q3 gross margin was 33.4% (flat YoY); operating margin was 12.9% versus 13.5% in Q3 2025, and adjusted operating margin was 13.3% versus 13.8% a year ago.
Fiscal 2025 guidance revised to total sales growth of +3%, slightly positive comp growth, 33.2% gross margin, 12.6% operating margin (13% adjusted), and diluted EPS down ~6% (adj. EPS down ~5%).

Nov 18, 2025, 2:00 PM

Transcript

Home Depot cuts outlook after Q3 earnings miss

Earnings

Guidance Update

Demand Weakening

Home Depot reported Q3 revenue of $41.3 billion, beating estimates, but adjusted EPS missed forecasts amid reduced demand.
Comparable-store sales rose 0.2% globally and 0.1% in the U.S., with a $900 million sales boost from the recent GMS acquisition.
Net earnings fell 1.3% year-over-year to $3.6 billion, marking the second consecutive quarter of bottom-line misses.
The company lowered its full-year profit outlook, citing the lack of major storms and ongoing housing market pressures.
Shares tumbled to a seven-month low, registering the largest one-day post-earnings decline since February 2023.

Nov 18, 2025, 1:30 PM

Morningstar

Earnings Transcripts

Quarterly earnings call transcripts for HOME DEPOT.

Q3 2026

Nov 18, 2025

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Q2 2026

Aug 19, 2025

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Q1 2026

May 20, 2025

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View All Transcripts

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HOME DEPOT (HD)

Analyst Earnings Quarterly Reports

Q3 2026

Q2 2026

Q1 2026

Q4 2025

Executives

Edward P. Decker

Ann-Marie Campbell

Jordan Broggi

Richard McPhail

Teresa Wynn Roseborough

William Bastek

Board Members

Ari Bousbib

Asha Sharma

Caryn Seidman-Becker

Gerard J. Arpey

Gregory D. Brenneman

J. Frank Brown

Jeffery H. Boyd

Manuel Kadre

Paula A. Santilli

Stephanie C. Linnartz

Wayne M. Hewett

Analyst Coverage

Michael Lasser

Simeon Gutman

Steven Zaccone

Christopher Horvers

Seth Sigman

Scot Ciccarelli

Zhihan Ma

Zachary Fadem

Charles Grom

Chuck Grom

Steven Forbes

Zack Fadim

Karen Short

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Q3 2026

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