New York, February 2, 2026, 15:37 EST — Regular session
- Home Depot shares gained roughly 1% in afternoon trading, recovering from an earlier drop of up to 1.5%.
- The broader U.S. market climbed following data revealing U.S. factory activity expanded for the first time in a year.
- All eyes are on Home Depot’s Feb. 24 earnings, with investors hunting for signals about demand tied to housing.
Shares of Home Depot climbed roughly 1% Monday afternoon, hitting $378.34 after dipping earlier to $369.01. The stock had ended Friday at $374.59.
This matters because Home Depot offers a quick snapshot of U.S. home-improvement demand, particularly bigger renovation jobs that usually track housing turnover and borrowing costs. Traders want clearer signals that spending is steadying after a volatile run in big-ticket buying.
Home Depot climbed as Wall Street advanced, with the S&P 500 hitting fresh all-time highs and small caps leading the way. U.S. factory activity expanded for the first time in a year, fueling the rally. “The fundamentals are good and earnings are strong,” said Tim Ghriskey, senior portfolio strategist at Ingalls & Snyder. (Reuters)
Shares of rival Lowe’s Companies also climbed in afternoon trading, signaling a firmer mood for the home-improvement sector following a patchy start to the day.
The company has been signaling a slow climb rather than a quick rebound. Back in December, it forecast fiscal 2026 “same-store sales”—meaning sales at stores open at least a year—between flat and up 2%. Adjusted earnings per share were expected to hold steady or rise by as much as 4%. At the time, Richard McPhail commented, “We believe that the pressures in housing will correct and provide the home improvement market with support for growth faster than the general economy.” (Reuters)
Home Depot’s fiscal fourth-quarter earnings drop on Feb. 24 will be the next major market mover. Investors want to hear about contractor demand trends, shifts in bigger project spending, and whether the company adjusts its 2026 outlook. (Homedepot)
The near-term outlook is complicated. The U.S. Bureau of Labor Statistics announced the January employment report will be delayed because of a partial government shutdown, depriving markets of a crucial read on hiring and wages this week. (Reuters)
Uncertainty like that can directly shape expectations around interest rates. For Home Depot, the trajectory of borrowing costs is crucial since it affects home sales and home equity—both of which, in turn, impact how much consumers are willing to spend on renovations.
Home Depot’s rebound off the session low indicates dip-buyers remain active, despite the stock’s intraday volatility. But that could shift fast if the upcoming earnings report signals a more cautious stance on major projects.
The key focus now: Home Depot’s report on Feb. 24. Investors want to see if management spots a genuine turnaround in housing-related demand.
