NEW YORK, Jan 27, 2026, 14:07 (EST) — Regular session
- Home Depot shares fell roughly 2% in afternoon trading, trailing behind as housing-related retailers took a hit.
- On Monday, the company launched a new feature called “Material List Builder AI,” targeting professional users.
- Wednesday’s Federal Reserve decision and Home Depot’s Feb. 24 earnings report are drawing investor attention for signs on demand.
Shares of Home Depot (HD) slipped roughly 1.9% to $379.20 Tuesday, down from Monday’s close of $386.53. The stock hit an intraday high of $387.00 before sliding to a low of $378.28.
The move was significant since Home Depot operates where consumer confidence, housing turnover, and major repair and remodel spending all collide — sectors that can slow abruptly when households grow wary.
New figures highlighted that caution. The Conference Board’s consumer confidence index dropped 9.7 points to 84.5 in January, marking its lowest since May 2014 and falling short of the Reuters poll forecast of 90.9. “Consumers remained concerned with inflation, affordability, and weak job prospects,” said Eugenio Aleman, chief economist at Raymond James. (Reuters)
In that context, the company announced Monday the rollout of “Material List Builder AI,” a new tool designed to create project material lists from text prompts, voice input, or existing documents. “Pros often tell us that their most valuable resource for any job is time,” said Mike Rowe, executive vice president of Pro for The Home Depot. (The Home Depot)
Home Depot is doubling down on its professional customers — contractors, remodelers, and tradespeople — betting that their repeat buys and larger orders will offset fluctuations in DIY demand. The company is rolling out tools designed to speed up planning and connect straight to ordering, aiming to keep these pros locked into its ecosystem.
The decline wasn’t unique to this stock. Shares of Lowe’s (LOW) fell roughly 1.7% in afternoon trading.
Housing data remained uneven. Another report revealed U.S. single-family home prices climbed 0.6% in November, marking a 1.9% gain year-over-year. At the same time, the average 30-year fixed mortgage rate stood near 6.09%, according to Freddie Mac figures cited by Reuters. (Reuters)
There’s a downside risk. If confidence doesn’t improve and borrowing costs stay high, major remodel projects could be postponed. Digital tools alone rarely boost sales in the short term. Plus, smaller contractors may adopt them inconsistently.
All eyes now shift to upcoming catalysts. The Federal Reserve’s rate-setting committee wraps up its January meeting Wednesday. Markets will be watching closely for any clues on the rate trajectory — a crucial factor for mortgage rates and housing market activity.
Home Depot will report its fiscal 2025 fourth-quarter results on Tuesday, Feb. 24, at 9:00 a.m. ET, according to its investor relations calendar. (Home Depot Investor Relations)
Investors are eager for a clearer picture on pro demand and the latest on big-ticket projects, along with any shift in tone about the spring selling season when management provides its updated outlook.
