economy
Home Depot comps finally catch Lowe's, opening the door for the stock to do the same
It took nearly a year. But it finally happened this quarter.
TL;DR
- Home Depot's comparable sales growth matched Lowe's at 0.6% in the fiscal first quarter, a first in nearly a year.
- Home Depot shares rose over 5%, while Lowe's shares fell 1.5% following their earnings reports.
- Analysts predict Home Depot will outperform Lowe's in upcoming quarters due to its strong Pro business and acquisitions.
- Both retailers are expanding their Pro customer base through acquisitions, though the full impact on sales will take time.
- The home improvement market's recovery is dependent on lower interest rates, which are currently unlikely due to inflation worries.
- Over the past year, Home Depot's stock declined 15%, and Lowe's stock dropped over 4%, underperforming the S&P 500.