A housing recovery may be keeping home improvement retailers like The Home Depot insulated from the problems plaguing other retail stocks.
The Home Depot reported third quarter net income as $1.7 billion, or $1.35 per share, up a whopping 17.4 percent, from a year ago. Total sales were up 6.4% to $21.8 billion year-over-year. These earnings were in line with analyst estimates. Home Depot shares ticked up 1.6% Tuesday afternoon.
Mooresville, N.C.-based Lowes reported $14.4 billion in revenue and earnings per share of 80 cents, up a staggering 35.6% from the same quarter last year, beating analyst estimates. Third quarter profits reached $736 million, up 25.8% year-over-year. This represents some of the best growth in the retail sector, according to a Wednesday morning note from Credit Suisse. Lowes’ stock sagged 1% to $73.45 by close of trading Wednesday.
