Home Depot slides as lack of future profit guidance outweighs earnings beat
Shares of Home Depot slipped as much as 6% on Tuesday as the largest home improvement retailer in the country declined to provide profit guidance for 2021, citing the unpredictability of how the coronavirus pandemic will affect its sales.
The company reported fourth-quarter earnings that topped estimates as demand for home improvement products boomed during the pandemic. However, as the US approaches one year under pandemic conditions, Home Depot acknowledged that future demand would be difficult to predict.
"As we look ahead to fiscal 2021, while we are not able to predict how consumer spending will evolve, if the demand environment during the back half of fiscal 2020 were to persist through fiscal 2021, it would imply flat to slightly positive comparable sales growth and operating m ...