Cramer Says Home Depot Faces Rate Headwinds After 19% Drop
Cramer tied Home Depot’s third-quarter weakness to higher interest rates as the retailer reported growth in second-quarter sales and online purchases.
Key takeaways
- Cramer said Home Depot fell 19% in the third quarter and faces rate headwinds.
- Home Depot reported second-quarter sales growth of 5.7% and online comparable sales growth of 11%.
Jim Cramer said Home Depot shares fell 19% in the third quarter and that the retailer would get little relief until interest rates decline. He made the comments on October 1 while discussing the Dow’s laggards.
Home Depot reported second-quarter sales of about $47.9 billion, up 5.7% from a year earlier. Online comparable sales rose 11%, and the company maintained its fiscal 2026 sales and adjusted earnings forecasts.
Management said affordability concerns and consumer uncertainty were weighing on larger home improvement projects. Housing turnover remained historically low relative to the housing stock, CFO Richard McPhail said.
This article was produced with the help of AI technology. Source: Yahoo Finance
