The Green Shoots in Home Depot’s Earnings

Motley Fool Hidden Gems Investing

The Motley Fool

Investing, Business

4.3 • 3.1K Ratings

🗓️ 19 May 2026

⏱️ 25 minutes

🔗️ Recording | iTunes | RSS

🧾️ Download transcript

Summary

It may not look like much right now, but one small detail in Home Depot’s earnings report that should bode well for the beleaguered home improvement retail. We look at the company’s most recent results, whether the company’s stock looks attractive after a five year malaise, and what other companies in the housing and home improvement indsutryTyler Crowe, Matt Frankel, and Lou Whiteman discuss:- Home Depot’s earnings: The good and the “meh”- Home Depot Stock: value investment or value trap?- Are interest rates really the problem for housing?- Where to invest in the “coiled spring” of home equity- Mailbag: Reinvest dividends or put the money to work elsewhere?- Mailbag: Where to invest in green energy?Companies discussed: HD, LOW, TREX, RKT, TFSL, BN, CSIQ, FSLRHost: Tyler CroweGuests: Matt Frankel, Lou WhitemanEngineer: Dan Boyd Disclosure: Advertisements are sponsored content and provided for informational purposes only. The Motley Fool and its affiliates (collectively, “TMF”) do not endorse, recommend, or verify the accuracy or completeness of the statements made within advertisements. TMF is not involved in the offer, sale, or solicitation of any securities advertised herein and makes no representations regarding the suitability, or risks associated with any investment opportunity presented. Investors should conduct their own due diligence and consult with legal, tax, and financial advisors before making any investment decisions. TMF assumes no responsibility for any losses or damages arising from this advertisement. We’re committed to transparency: All personal opinions in advertisements from Fools are their own. The product advertised in this episode was loaned to TMF and was returned after a test period or the product advertised in this episode was purchased by TMF. Advertiser has paid for the sponsorship of this episode. Learn more about your ad choices. Visit ⁠⁠⁠⁠⁠⁠⁠⁠megaphone.fm/adchoices⁠⁠ Learn more about your ad choices. Visit megaphone.fm/adchoices

Transcript

Click on a timestamp to play from that location

0:00.0	Home Depot and Housing on today's Motley Fool Hidden Gems Investing.
0:06.0	Welcome to Motley Full Hidden Gems Investing. I'm your host, Tyler Crow, and today I'm joined by the usual Tuesday crew. I've got Lou Whiteman and Matt Franklin, longtime fool contributors here today.
0:18.0	We're going to get into Home Depot's earnings, which reported
0:21.0	before the bell today, as well as take a look at, I would say like a broader look at the
0:26.3	housing industry in general, residential construction, building supply companies in general,
0:32.2	because Home Depot is a great time to expand on this broader world that we see in the housing world because there
0:39.7	are trillions of dollars associated with a lot of financing opportunities. And of course,
0:44.1	when we finish up, we'll get into the mailbag. But as I said, we're going to start with
0:47.0	Home Depot's earnings. Shares are down about 1.37% as we tape after the company released its
0:54.1	first quarter earnings. You know, it beat earnings
0:56.7	and revenue estimates were better than expected. Revenue was up 4.8% year over year, but
1:03.3	costs outpaced that. And earnings ended up doing a 4.3% decline on a per share basis. And,
1:09.8	you know, S&P 500 is down today. So you could say, yeah,
1:13.1	it's just the market, I guess. It's not a big deal. But other than that, guys, what did you
1:18.9	see maybe in the earnings or perhaps what you've been watching with Home Depot in general?
1:23.3	And what were some of the takeaways? Lou, I want to start with you. Yeah. So down slightly now,
1:28.0	half hour ago, I think it was 0.1% or so. So I think the market is yawning at this quarter,
1:33.3	which, if we're honest, that's probably the right reaction. And you don't have to overreact
1:38.1	every three months. But look, I will tell you, if you squint, if you really, really look
1:43.7	carefully, if you really want to see it, there are green shoots there.
1:47.8	There is potential signs of life here in a company that, you know, it's been a bad few years for, just in terms of total spend.
1:56.2	People are shopping less, but they are spending more.
	...

Transcript will be available on the free plan in 11 days. Upgrade to see the full transcript now.

Previous episode | Next episode

Disclaimer: The podcast and artwork embedded on this page are from The Motley Fool, and are the property of its owner and not affiliated with or endorsed by Tapesearch.

Generated transcripts are the property of The Motley Fool and are distributed freely under the Fair Use doctrine. Transcripts generated by Tapesearch are not guaranteed to be accurate.