Growth stocks had a strong run for many years. But over the past few months, investors have been pouring their money into safe stocks as they flee to security from the shaky macroenvironment. Some stocks seem to be totally resilient against macroeconomic forces, continuing to post steady growth despite inflation and supply chain issues. Home Depot (NYSE: HD) posted high growth when the pandemic started, and it's continuing to build on that even as tailwinds die down, and it looks unstoppable.

Stock prices began to fall toward the end of last year, but they plunged at the beginning of 2022 as many top companies revealed how bad their supply chain and inventory problems really were. It didn't take long for most of them to respond with defensive tactics, and stock prices have been cautiously rising along with confidence in the economy.

But Home Depot started off 2022 with healthy results in the first quarter, including increases in both comparable sales (comps) and earnings per share (EPS) in the first quarter, despite facing inflation and strong comps results from last year. It built on that in the second quarter, beating expectations and posting a 6.5% year-over-year increase in sales, including 5.8% higher comps and $5.05 in EPS versus $4.53 last year.

Continue reading

Source Fool.com