Home Depot Inc
Q4 2026 Earnings
Market Reaction
S&P 500 over the same 30 days: −6.15%.
Did HD Beat Earnings? Q4 2026 Results
Home Depot closed out Q4 fiscal 2025 with a <a href="https://247wallst.com/investing/2026/02/24/home-depot-beats-estimates-for-first-time-in-a-year-as-shares-jump-3-5/">stronger-than-expected earnings beat</a>, posting adjusted diluted EPS of $2.72 against a consensus estimate of $2.52, a 7.94% beat, while revenue of $38.20 billion edged past the $38.12 billion estimate despite falling 3.8% year-over-year. The headline revenue decline was largely a calendar artifact, as the prior-year quarter spanned 14 weeks versus 13 this period, adding roughly $2.50 billion in sales to the year-ago comparison. Underneath that headwind, comparable sales rose 0.4%, signaling modest underlying demand improvement even as high mortgage rates and a sluggish housing market continue to weigh on big-ticket discretionary projects. Professional customer demand and rising big-ticket transaction values provided some offset. Looking ahead, Home Depot guided fiscal 2026 total sales growth of 2.5% to 4.5% and comparable sales growth of flat to 2.0%, with adjusted operating margin expected between 12.8% and 13.0%, as the company continues integrating SRS Distribution and rebuilding leverage on its cost structure.
- Comparable sales increased 0.4% in Q4 and 0.3% for fiscal 2025
- U.S. comparable sales increased 0.3% in Q4 and 0.5% for fiscal 2025
- Comparable average ticket increased 2.4% in Q4
- Customer transactions declined 8.5% in Q4, partly due to the 14th week comparison
- Comparable customer transactions declined 1.6% in Q4
- Average ticket of $91.28 in Q4, up 2.4% on comparable basis
- SRS acquisition contributed to total sales growth of 3.2% for fiscal 2025
“Throughout fiscal 2025, our teams did an incredible job engaging with our customers and growing market share, and I would like to thank them for their hard work and dedication.”
Home Depot CEO, on the earnings call
Forward Guidance & Outlook
For fiscal 2026, Home Depot guides total sales growth of approximately 2.5% to 4.5%, comparable sales growth of approximately flat to 2.0%, approximately 15 new store openings, gross margin of approximately 33.1%, operating margin of approximately 12.4% to 12.6% (adjusted 12.8% to 13.0%), an effective tax rate of approximately 24.3%, net interest expense of approximately $2.3 billion, diluted EPS growth of approximately flat to 4.0% from $14.23 in fiscal 2025, adjusted diluted EPS growth of approximately flat to 4.0% from $14.69, and capital expenditures of approximately 2.5% of total sales. Adjusted guidance excludes an expected approximately 40 basis point impact from acquired intangible asset amortization on operating margin and an approximately $0.50 after-tax impact on diluted EPS.
HD YoY Financials
Figures from SEC filings and company reports. Not investment advice.