Home Depot Earnings: HD Stock Takes a 3% Hit on Mixed Q1

Home Depot (NYSE:HD) earnings for the company’s first quarter of 2020 have HD stock down on Tuesday. That comes after reporting diluted earnings per share (EPS) of $2.08, which doesn’t meet Wall Street’s estimate of $2.26 per share. However, its revenue of $28.26 billion is better than analysts’ estimates of $27.28 billion.

Home Depot Earnings: HD Stock Takes a 2% Hit on Mixed Q1

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Here’s what else is worth mentioning from the most recent Home Depot earnings report.

  • Diluted per-share earnings are down 8.4% from $2.27 during the same time last year.
  • Revenue for the quarter is up 7.1% compared to 26.38 billion in the first quarter of 2019.
  • Operating income of $3.28 billion is an 8.9% decline year-over-year from $3.6 billion.
  • The Home Depot earnings report also includes a net income of $2.25 billion.
  • That’s a 10.7% drop from its net income of $2.51 billion reported in the same period of the year prior.

Craig Menear, chairman, president and CEO of Home Depot, said this in the Q1 earnings report:

“As the COVID-19 pandemic evolved, we anchored to the core values of our Company by focusing on two key priorities: working to ensure the safety and well-being of our associates and customers, and providing our customers and communities with essential products.  We took early and decisive action to intentionally limit customer traffic in our stores which we believe had a significant impact to sales in many markets.”

Home Depot is suspending its fiscal 2020 guidance. The company cites the economic uncertainty caused by the novel coronavirus as the reason for this. Many other companies are doing the same.

HD stock ended the day Tuesday down 2.9%

As of this writing, William White did not hold a position in any of the aforementioned securities.

Article printed from InvestorPlace Media, https://investorplace.com/2020/05/home-depot-earnings-q1-hit-hd-stock/.

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