HOME DEPOT Reports Third Quarter Earnings Results for FY2024
November 27, 2023
🌥️Earnings Overview
On November 14 2023, HOME DEPOT ($NYSE:HD) released its third quarter FY2024 earnings results ending October 31 2023. Their total revenue for the quarter was USD 37.7 billion, a decrease of 3.0% from the same period a year prior. Net income reported was USD 3.8 billion, a 12.2% decline from the year before.
Market Price
The stock opened the day at $300.9 and closed at $303.6, a 5.4% increase from the prior day’s closing price of 288.1. This represented a significant jump in the stock price, indicating that the market was impressed with the company’s performance. The company also saw an impressive 12% growth in profits for the same period. This indicates that HOME DEPOT has been able to effectively manage their expenses while still generating significant revenue. This indicates that HOME DEPOT was able to effectively manage their inventory and costs while still maintaining a healthy bottom line.
Overall, HOME DEPOT’s third quarter results were positive and exceeded expectations. The company has seen steady growth in revenue and profits over the past year, and their stock has responded accordingly. With the stock up 5.4%, investors are optimistic about the future of HOME DEPOT and are likely to continue to invest in the company. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Home Depot. More…
| Total Revenues | Net Income | Net Margin |
| 153.71k | 15.7k | 10.2% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Home Depot. More…
| Operations | Investing | Financing |
| 21.03k | -4.04k | -17.37k |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Home Depot. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 75.58k | 74.15k | 1.33 |
Key Ratios Snapshot
Some of the financial key ratios for Home Depot are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 7.0% | 8.2% | 14.6% |
| FCF Margin | ROE | ROA |
| 11.6% | 1051.7% | 18.6% |
Analysis
As a GoodWhale analyst, I recently performed an analysis of the fundamentals of HOME DEPOT. According to the Star Chart, HOME DEPOT is classified as a ‘rhino’, which suggests that the company has achieved moderate revenue or earnings growth. This type of company may be of interest to investors who are looking for a company with stable performance and moderate returns. HOME DEPOT also has a high health score of 8/10, meaning that it is capable of paying off debt and funding future operations. Furthermore, the company is strong in dividend and profitability, medium in growth, and weak in asset. This makes HOME DEPOT an attractive investment opportunity for those investors who are seeking steady returns. More…
Peers
The Home Depot Inc is one of the leading home improvement retailers in the United States. The company operates more than 2,200 stores across the country. Lowe’s Companies Inc is another leading home improvement retailer in the United States. The company operates more than 1,700 stores across the country. Floor & Decor Holdings Inc is a leading specialty retailer of hard surface flooring in the United States. The company operates more than 100 stores across the country. Wayfair Inc is a leading online retailer of home furnishings and home décor products.
– Lowe’s Companies Inc ($NYSE:LOW)
Lowe’s Companies, Inc. is a home improvement company that operates stores in the United States, Canada, and Mexico. The company offers a wide variety of home improvement products, including appliances, tools, hardware, flooring, and more. Lowe’s is also involved in home improvement services, such as installation, repair, and remodeling. The company has a market cap of $114.17B and a return on equity of -99.39%.
– Floor & Decor Holdings Inc ($NYSE:FND)
Floor & Decor Holdings Inc is a specialty retailer of hard surface flooring and related accessories, with 97 stores across 27 states in the United States. The company offers a wide selection of ceramic tile, porcelain tile, natural stone, wood flooring, laminate, and vinyl flooring products. It also provides installation services for customers who purchase their products. Floor & Decor Holdings Inc has a market cap of 7.06B as of 2022, a Return on Equity of 14.88%.
– Wayfair Inc ($NYSE:W)
As of 2022, Wayfair Inc has a market cap of 3.37B and a Return on Equity of 29.2%. The company provides an online platform for home goods and furniture retailers. It operates through two segments, Direct and Marketplace. The Direct segment offers products through its own website. The Marketplace segment offers products through third-party websites.
Summary
Home Depot reported its third quarter earnings for FY2024, with total revenue of USD 37.7 billion and net income of USD 3.8 billion. This represented a 3.0% decrease in revenue and a 12.2% decrease in net income compared to the same period the previous year. Despite the financial results, investor sentiment was positive; the stock price moved up on the same day as the earnings announcement.
Analysts generally see Home Depot as a good long-term investment opportunity due to the company’s ongoing focus on cost cutting, improving customer service, and expanding its online presence. Investors should consider Home Depot stock when evaluating their portfolios, as the company is well-positioned for future growth.
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