Home Depot Q1 Revenue Hits $41.8B, EPS $3.43; Managers Eye Housing Rebound
Home Depot reported Q1 FY2026 revenue of $41.8 billion, up 4.8% year-over-year, and operating cash flow of $6.0 billion while adjusted EPS declined to $3.43. The company reaffirmed full-year sales growth guidance of 2.5%–4.5%, and portfolio managers added Home Depot to housing-focused holdings expecting a market rebound.
1. Q1 Financial Results
Home Depot posted Q1 FY2026 revenue of $41.8 billion, a 4.8% year-over-year increase, driven by a 2.3% rise in average ticket and a 0.6% gain in comparable sales.
2. Operating Cash Flow and EPS Details
Operating cash flow climbed to $6.0 billion from $4.3 billion a year earlier, while net earnings fell to $3.3 billion and adjusted EPS declined to $3.43.
3. Full-Year Guidance Reaffirmation
The company maintained full-year targets for 2.5%–4.5% total sales growth, flat to 2.0% comparable sales growth, and flat to 4.0% adjusted EPS growth from a $14.69 base.
4. Portfolio Manager Outlook on Housing
Portfolio managers added Home Depot to housing-themed portfolios alongside DR Horton, anticipating a recovery in the housing market after nearly four years of downturn.