3 Things to Know Before Buying Home Depot Stock in 2024
Investors are warming up to Home Depot (NYSE: HD) stock again. The home improvement giant's shares have rallied over the last several months even though its industry is shrinking. Wall Street is betting that a sales rebound is on the way as interest rates potentially start dropping again in 2024.
The timing of Home Depot's sales recovery is anyone's guess, but there are some things investors already know about its momentum as it heads into the new fiscal year. Let's take a closer look.
Investors should have modest expectations for this business over the short term. Home Depot in mid-November said that comparable-store sales will fall by as much as 4% for the full fiscal 2023 year, in fact. Some of that pressure is coming from temporary issues like price deflation for lumber. But the bigger problem is weak overall demand. You can see evidence of that softness in the chain's customer traffic, which is down 3% through the first three quarters of 2023.
Source Fool.com
