had a phenomenal quarter, but investors aren’t in the mood to savor the gains.
Home Depot’s sales grew 23.4% in the quarter ended Aug. 2 from the year-ago period, while Lowe’s revenue jumped 30% in the quarter ended July 31. Both companies exceeded analysts’ estimated revenue by around 10%. Diluted earnings per share increased 75% year over year at Lowe’s and 26.8% at Home Depot. Yet shares of Home Depot are down around 2% since it reported earnings Tuesday morning, and Lowe’s was basically flat after reporting Wednesday.
As in the preceding quarter, sales to do-it-yourself consumers outpaced those to professional contractors at both retailers. Lowe’s benefited more from this trend as DIY customers make up a higher portion of its business. Interestingly, sales growth was strong in all U.S. regions for both companies and not correlated with the size