How The Home Depot, Inc.(HD) Ended Up With Such a Great Performance?

The Home Depot, Inc. (NYSE:HD) came up with its second-quarter earnings report, which is much better than Street’s expectations. Peter Keith, Senior Analyst at Piper Jaffray  discussed The Home Depot, Inc. (NYSE:HD)’s growth across various geographies and other aspects of its results on CNBC, recently.

The Home Depot, Inc. (NYSE:HD)

“It’s really a solid quarter, above expectations. What was nice, is that it was strength across the board and that would be geography across categories and, I think, it really just well defines the strength of the management team and the power of solid execution. [...] I think to a certain degree it, certainly, wouldn’t be immune to a slowdown, but when you look down at the strength across categories, they are still doing a lot of work inside the store to optimize the space, you look at a category like appliances that they have sold for years and that was up double digits in the second quarter [...],” Keith said.

Keith mentions that he will be looking for The Home Depot, Inc. (NYSE:HD)’s out-performance in the overall housing space. The Home Depot, Inc. (NYSE:HD) surprised the Street when it announced second quarter sales of $23.8 billion, up 5.7% year on year and better than what analysts were expecting. The best part was the company’s comparable-store sales growth, which were higher 5.8%  overall and 6.4% higher for U.S. based stores. Net income of The Home Depot, Inc. (NYSE:HD) rose to $2.05 billion,  14%  more than the same quarter last year.

“[...] I think that there has been some concern about housing metric slowing for the last 12 months, which is fair, you have seen housing turnover slow and so you have seen the multiple compressed. You have not seen earnings come down, in fact earnings estimates have only gone up. So, as we look forward, I think, you are going to see the housing turnover number stabilize and you will see investors begin to come back to The Home Depot, Inc. (NYSE:HD) [...],” Keith added.

Disclosure: None

blog comments powered by Disqus
Insider Monkey Headlines
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months Click to see monthly returns in table format!

Lists

The 10 Most Overrated Movies Of All Time by Out-of-Touch Critics

Top 6 Least Expensive Cruise Destinations For 2015 that Will Take You to Paradise

10 States with Lowest Substance Abuse Rates in America

The 14 Most Watched TV Finales Ever

The 10 Best Selling Role Playing Games of All Time for PC

10 Most Influential Papers In Economics

Top 8 Biggest Charities in the US

10 Worst Celebrity Career Moves Ever

Top 10 Best Paid Tennis Stars in the World

10 Cities with High Demand for Nurses

6 of the Worst Greeting Card Messages Ever Crafted

6 Ways to Make Money in ArcheAge and Build Your Empire

10 Foods To Eat To Lower Cholesterol Levels

The 10 Most Hated Television Characters of All Time

The 30 Worst Halloween Costume Ideas Ever Brought to Horrible Life

10 Vocational Skills in Demand Today with Jobs Waiting to be Filled

10 Best Places to Visit in Central and South America

The 10 Greatest Empires in History Which Nearly Conquered the World

The 6 Cheapest Boarding Schools In America 2015

5 Clear Reasons LoL is Better than DotA, Continues to Rule MOBAs

The Only 9 Teams with a Chance to Win the Super Bowl

The 15 Most Common Phobias in America that Induce Fits of Panic

Top 6 Least Expensive Tourist Destinations in 2014

Jim Goetz, Peter Fenton, Jim Breyer: Top 6 Venture Investors for 2014

Top 15 Billionaires in 2014

5 Pitfalls To Avoid When Buying a Franchise

Top 20 Medical Schools in the US – 2014 Rankings

4 Business Strategies that Turned Jamie Oliver into the World’s Richest Chef

6 Qualities That Make You A Good Team Player

10 High Paying Seasonal Jobs in America this Holiday Season

The 10 Busiest Shipping Lanes in the World

5 Most Valuable Brands in China

The 10 States with Highest Substance Abuse Rates Crippling Their Populace

The Top 10 Things to Do Before You Die That Will Echo for Eternity

The 10 Best Selling Items on Etsy

Top 10 Things to Do in Tokyo, the Greatest City in the World

10 Mistakes on Social Media that Can Harm You and Will Probably Get You Canned

The 10 Best Cities to Find Jobs in 2014

The 10 Most Controversial Songs Of All Time to Hit (and get Banned from) the Airwaves

The 20 Biggest IPOs in US History

The 10 Best Places to Visit in Mexico that Are Beautiful and Safe

7 Bad Habits that Age You Beyond Your Years

The 40 Best Fortune Cookie Sayings That Will Leave You Bemused, Befuddled, or Beguiled

10 Foods to Eat Before a Workout to Make Every Drop of Sweat Count

The 5 Best Documentaries On Netflix You Must See

The Most Heartwarming and Inspirational Story Of This Halloween Season, It Will Make You Cry and Jump For Joy

10 Best Party Songs of All Time to Bring the House Down With

5 New World Order Conspiracy Theories that Will Strangle the World

The 10 Highest Rated Movies of 2014

The 10 Largest Container Shipping Companies in the World

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!