Will Home Depot Stock Continue to Rally? Same-Store Sales Turn Positive, but Company Remains Cautious.

In its most recently reported quarter, Home Depot (NYSE: HD) managed to turn in positive same-store sales for the first time since the third quarter of 2022, breaking its ugly streak of declining comparable-store sales. Same-store sales are an important metric for retailers, as it shows how existing stores are performing. Costs (such as wages, utilities, and maintenance) also tend to rise over time, so if existing store sales don't increase, retailers will generally see operating deleverage, where profits start to fall faster than sales.Let's take a closer look at Home Depot's fiscal fourth-quarter report and guidance to see if the stock can continue to rally.It's been a tough environment the past couple of years for home improvement retailers. COVID lockdowns, when people were confined to their homes, led to a lot of pull forward in demand for home improvement projects, while rising interest rates led to less housing turnover and higher financing costs for projects.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool