Shares of Home Depot Inc. (NYS:HD) fell 2.5% in premarket trading Tuesday, after the home improvement retailer reported a fiscal first-quarter profit that missed expectations, although revenue and same-store sales rose more than forecast. Net income for the quarter to May 5 fell to $2.25 billion, or $2.08 a share, from $2.51 billion, or $2.27 a share, in the year-ago period. The FactSet consensus for earnings per share was $2.27. Sales rose 7.1% to $28.26 billion, above the FactSet consensus of $27.56 billion. Overall same-store sales grew 6.4% from a year ago, beating the FactSet consensus of 4.3% growth, while U.S. same-store sales rose 7.5% compared with expectations of a 4.0% rise. The company said while sales were "strong" at the end of the first quarter and into the first two weeks of the second quarter, it is suspending its previously provided financial guidance given the uncertainties regarding the effects of the COVID-19 pandemic. Separately, Home Depot announced a regular quarterly dividend of $1.50 a share, payable June 18 to shareholders of record on June 4. The stock has gained 0.7% over the past three months through Monday, while the SPDR S&P Retail ETF (PSE:XRT) has shed 14.6% and the Dow Jones Industrial Average (DOW:DJIA) has lost 16.2%.
May 19, 2020, 6:10 a.m. EDT