NEW YORK, Aug. 12, 2026, 10:30 EDT
- Home Depot shares fell about 2.5% during morning trading.
- CEO Ted Decker expects to return after a temporary medical leave.
- Two long-serving executives will divide operating and financial oversight.
The Home Depot, Inc. NYSE:HD shares fell about 2.5% Wednesday morning. Chief Executive Ted Decker will take a temporary medical leave. The company expects him back within a few months.
The decline implies roughly $8.8 billion of lost equity value. That preliminary estimate uses Tuesday’s $354.48 close and 997.1 million shares. The scale exceeds the information disclosed about near-term operations.
Continuity is the counterweight. Ann-Marie Campbell and Richard McPhail bring 62 years of combined Home Depot tenure. Campbell will manage daily operations. McPhail will retain financial oversight.
| Executive | Joined Home Depot | Interim responsibility | Company tenure |
|---|---|---|---|
| Ann-Marie Campbell | 1985 | Day-to-day operations | 41 years |
| Richard McPhail | 2005 | Finance and CEO operations | 21 years |
| Ted Decker | 2000 | On temporary leave | 26 years |
The split structure limits key-person exposure but adds coordination risk. Decker recommended the interim arrangement. Independent lead director Greg Brenneman will serve as interim board chairman. The company disclosed no medical details.
Housing-linked shares were broadly weaker. Lowe’s Companies, Inc. NYSE:LOW fell 2.6%. The iShares U.S. Home Construction ETF (NYSEARCA:ITB) declined 2.3%. Home Depot’s move was therefore not isolated.
| Security | Morning move | Investor signal |
|---|---|---|
| Home Depot (HD) | -2.5% | Leadership news plus housing weakness |
| Lowe’s (LOW) | -2.6% | Peer pressure |
| iShares U.S. Home Construction ETF (ITB) | -2.3% | Sector pressure |
The timing raises the stakes. Home Depot is due to report quarterly results on Aug. 18. Investors will test whether the operating handoff changes messaging or execution.
First-quarter sales rose 4.8% to $41.8 billion. Comparable sales increased just 0.6%. Adjusted earnings fell to $3.43 per share from $3.56. The mix still showed thin demand growth.
| Metric | Fiscal Q1 2026 | Change or comparison |
|---|---|---|
| Sales | $41.8 billion | Up 4.8% |
| Comparable sales | Up 0.6% | U.S. comps up 0.4% |
| Adjusted diluted EPS | $3.43 | Down from $3.56 |
| Fiscal 2026 sales guide | Up 2.5% to 4.5% | Reaffirmed in May |
| Fiscal 2026 adjusted EPS guide | Flat to up 4% | From $14.69 |
Decker said then that “underlying demand in our business was relatively similar” to fiscal 2025. He also cited consumer uncertainty and housing affordability pressure. The coming report will show whether that balance held. Home Depot
Wall Street remains constructive, but not unanimous. A recent S&P Global poll counted 21 positive ratings and 15 holds. The average target stood at $370.34. That was only 4.5% above Tuesday’s close.
| Analyst recommendation | Count | Share of 36 ratings |
|---|---|---|
| Strong Buy | 17 | 47% |
| Buy | 4 | 11% |
| Hold | 15 | 42% |
| Sell / Strong Sell | 0 | 0% |
The investor test is clear. A familiar operating pair can stabilize execution. Yet next week’s results must support a valuation already near the analyst average target.
Risks: The leave’s length remains uncertain. Weak housing turnover can delay large projects. A dual interim structure may also slow decisions during the Pro expansion.
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