The Home Depot, Inc. Q1 2026 Earnings Recap

Shares of Home Depot rose modestly by 0.9% following the first quarter earnings report, reflecting a generally stable performance with mixed underlying results and no significant surprises in outlook or guidance.

Key Takeaways

• First quarter sales reached $41.8 billion, up 4.8% year-over-year, with comparable sales increasing 0.6%.
• Adjusted diluted EPS declined to $3.43 from $3.56 a year ago, indicating margin pressure despite sales gains.
• Positive comparable sales were driven by strong Northern and Western U.S. divisions and growth in Mexico, offset partially by softness in Canada.
• Operational improvements continue with over 1,000 stores transitioned to an execution team model aimed at enhancing customer engagement and fulfillment efficiency.
• Acquisition of Mingledorff’s expands the addressable market and strengthens Home Depot’s position in the HVAC distribution sector, targeting the Pro customer segment.