Home Depot Cautious About Big Renovation Surge
Despite tax cuts and potential interest rate reductions, Home Depot remains skeptical of a major renovation boom. While improved tax policies may free up some consumer spending, persistent high interest rates are still suppressing large-scale remodeling demand.
Q2 sales reached $45.3 billion, slightly outperforming expectations.
Comparable-store sales rose by 1% year-over-year, with a 2.6% increase in higher-ticket purchases (i.e. $1,000+).
Although the company forecasts 2.8% full-year sales growth, it anticipates that many homeowners will continue to defer major renovation projects due to financial constraints.