Atlanta, Georgia-based The Home Depot, Inc. (HD) is a home improvement retailer that offers a vast array of building materials, home improvement products, lawn and garden supplies, and décor. It also maintains a significant presence in the professional market through its facilities maintenance and MRO services. Valued at a market cap of $338.2 billion, the company is expected to announce its fiscal Q1 earnings for 2026 before the market opens on Tuesday, May 19.
Ahead of this event, analysts expect this home improvement retailer to report a profit of $3.42 per share, down 3.9% from $3.56 per share in the year-ago quarter. The company has missed Wall Street’s bottom-line estimates in three of the last four quarters, while surpassing on another occasion. In Q4 2025, HD’s EPS of $2.72 outpaced the consensus expectations by 7.9%.
For the current fiscal year, ending in January, analysts expect HD to report earnings of $15.03 per share, up 2.3% from $14.69 per share in fiscal 2025. Its EPS is expected to further grow 8.8% year-over-year to $16.35 in fiscal 2027.
HD has declined 4.7% over the past 52 weeks, notably trailing both the S&P 500 Index's ($SPX) 35% return and the State Street Consumer Discretionary Select Sector SPDR ETF’s (XLY) 24.4% uptick over the same time period.
On Apr. 8, shares of HD grew 5.5% after President Trump announced a two-week pause in attacks on Iran, which led to a notable 17% decline in crude oil prices. The drop in oil eased inflationary pressures across both supply and demand, lifting sentiment in consumer retail stocks. Retailers had been preparing for elevated freight costs and more cautious consumer spending, but the development shifted expectations toward improved growth, bolstering investor confidence.
Wall Street analysts are moderately optimistic about HD’s stock, with a "Moderate Buy" rating overall. Among 34 analysts covering the stock, 21 recommend "Strong Buy," one indicates a "Moderate Buy,” 11 suggest "Hold," and one advises a “Strong Sell.” The mean price target for HD is $407.50, indicating a 20.1% potential upside from the current levels.
On the date of publication, Neharika Jain did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
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