Wall Street analysts expect Home Depot (HD) to post quarterly earnings of $3.59 per share in its upcoming report, which indicates a year-over-year decline of 1.1%. Revenues are expected to be $39.33 billion, up 8% from the year-ago quarter.
The consensus EPS estimate for the quarter has been revised 0.4% higher over the last 30 days to the current level. This reflects how the analysts covering the stock have collectively reevaluated their initial estimates during this timeframe.
Prior to a company's earnings announcement, it is crucial to consider revisions to earnings estimates. This serves as a significant indicator for predicting potential investor actions regarding the stock. Empirical research has consistently demonstrated a robust correlation between trends in earnings estimate revision and the short-term price performance of a stock.
While investors typically rely on consensus earnings and revenue estimates to gauge how the business may have fared during the quarter, examining analysts' projections for some of the company's key metrics often helps gain a deeper insight.
With that in mind, let's delve into the average projections of some Home Depot metrics that are commonly tracked and projected by analysts on Wall Street.
Analysts predict that the 'Number of stores - Retail' will reach 2,350. The estimate compares to the year-ago value of 2,337.
Based on the collective assessment of analysts, 'Number of customer transactions - Retail' should arrive at 390.80 million. Compared to the current estimate, the company reported 386.8 million in the same quarter of the previous year.
The combined assessment of analysts suggests that 'Average ticket - Retail' will likely reach $91.74. Compared to the present estimate, the company reported $90.68 in the same quarter last year.
View all Key Company Metrics for Home Depot here>>>
Over the past month, Home Depot shares have recorded returns of +7.8% versus the Zacks S&P 500 composite's +9% change. Based on its Zacks Rank #3 (Hold), HD will likely exhibit a performance that aligns with the overall market in the upcoming period. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
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The Home Depot, Inc. (HD): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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