Tepid home improvement sales impact Home Depot and Lowe's, future uncertain

From Yahoo Finance: 2025-05-19 06:08:00

Investors are watching Home Depot and Lowe’s earnings closely as April sales data show a 2% drop in spending at building and garden supply stores. Future purchase intent also decreased, especially among lower-income shoppers, indicating a possible delay in the housing market rebound and economic uncertainty.

While experts are hesitant to predict a recession, factors like tariffs and consumer uncertainty have impacted sales. President Trump’s tariff announcements have caused consumer hesitation in buying big items. Analysts are curious to see how Home Depot and Lowe’s navigate tariffs and manage financial health.

Home Depot and Lowe’s are set to report earnings this week. With consumer confidence and economic indicators at play, analysts are waiting to see how the retailers performed last quarter and how they plan to address tariff challenges. The timeline for a housing market rebound remains uncertain amidst macroeconomic instability.

Read more: Tepid home improvement sales put Home Depot, Lowe’s under microscope