Home Depot Faces Earnings Challenges Amid Price Increases and Changing Consumer Behavior
Home Depot recently reported earnings that fell short of estimates, yet its stock experienced a rise due to maintained sales forecasts. The company is confronting headwinds, including rising prices attributed to tariffs and a shift in consumer behavior, with homeowners tending to focus on small projects while deferring larger home improvement tasks. Despite a slip in overall sales and transaction volumes, Home Depot noted an increase in big-ticket purchases and reaffirmed its annual guidance. Analysts suggest that while the current performance is weak, there could be potential for recovery in home improvement demand.
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