- Home Depot anticipates a downturn in consumer spending amid economic uncertainty, despite modest Q2 earnings and a slight sales increase.
- While Home Depot avoids broad price hikes, some products may be discontinued if tariffs make them unprofitable. The company is diversifying its supply chain to reduce reliance on any single foreign country.
- CEO Ted Decker notes that Home Depot’s customers remain financially stable, with spending focused on smaller home projects rather than large renovations.
- Unlike Walmart and Stanley Black and Decker, which are raising prices due to tariffs, Home Depot is working to minimize cost increases for consumers.
- President Donald Trump has criticized companies like Walmart for blaming tariffs for price hikes, urging them to absorb costs rather than pass them on to customers.
(Natural News)—Home Depot, the nation’s largest home improvement retailer, is preparing for financial challenges in the coming months as the U.S. economy shows signs of strain. Despite reporting modest second-quarter earnings, executives warned of a looming downturn in consumer spending, just as the critical holiday shopping season approaches.
During an earnings call on Tuesday, May 20, Home Depot executives reassured investors that they do not foresee “broad-based price increases” for customers, despite new tariffs on imported goods. However, some items may be phased out if tariffs render them economically unviable.