Home Depot has resumed growth, ending a streak of declining sales. The largest home improvement retailer in the U.S. reported on Tuesday that same-store sales increased by 0.8% last quarter, breaking a sequence of eight quarters of declines. The company forecasts a 1% growth in same-store sales for 2025. Despite a 2% drop in Home Depot’s stock during pre-market trading, this marks a positive turn for consumer spending on home improvements and large purchases. Analyst Neil Saunders noted the importance of this growth after two years of declines. Home Depot’s performance is closely linked to the housing market, which has been affected by high interest rates, impacting housing turnover and major remodeling projects. CFO Richard McPhail stated that while housing remains constrained by mortgage rates, the company experienced broad growth across about half of its merchandise categories last quarter. Nonetheless, pressure remains on large remodeling projects, reflecting consumer stress from higher interest rates. — news from CNN
