# Home Depot Stock Q3 2026: Sales Up 5.7% to $47.9bn as SRS Pro Distribution Grows
> Home Depot stock Q3 2026: fiscal Q2 sales up 5.7% to $47.9bn, comps up 1.7%, SRS up 62%, tariff refunds, guidance, cash flow and HD valuation risks.

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## Facts
- Ticker: HD
- QSILabs fair value: $151.01 USD
- Price: $329.20 (as of 2026-10-30)
- As of: fiscal Q2 2026 results (quarter ended 2026-08-02); price as of 2026-10-30 close
- Published: 2026-11-02
- Updated: 2026-11-02
- Author: QSI Labs Research
- Canonical: https://www.quantitativesuperintelligencelabs.com/research/home-depot-stock-q3-2026-earnings-pro-srs-housing/

## Short answer
Home Depot stock Q3 2026 coverage means Home Depot's latest reported quarter, fiscal Q2 2026, the 13 weeks to 2 August 2026. Net sales rose 5.7% to a record $47.9bn, but most of the growth was bought: the GMS and Mingledorff's acquisitions lifted the SRS distribution business by 62%, while comparable sales, the like-for-like measure, rose only 1.7% as shoppers made fewer trips and spent more per visit. GAAP operating margin slipped to 14.3% even with about $685m of tariff refunds, and management reaffirmed fiscal 2026 guidance for sales growth of 2.5% to 4.5%. Our discounted cash flow model puts Home Depot at $151.01 a share, against a $329.20 close on 30 October 2026. The business is steady and highly profitable; the question is how much growth and how low a cost of capital the share price already assumes.

## Key takeaways
- Record sales, slow comps. Fiscal Q2 2026 net sales were $47,861m, up 5.7% from $45,277m. Comparable sales rose 1.7% (1.3% in the US), with comparable transactions down 1.0% and average ticket up 2.8% to $92.50.
- Distribution did the heavy lifting. Other net sales, the SRS businesses including GMS and Mingledorff's, rose 62% to $5,055m. GMS alone added $1.4bn of sales in the quarter. The store-based Primary segment grew 1.5% to $42,806m.
- Margins edged down. GAAP operating income rose 4.3% to $6,839m, a 14.3% margin against 14.5%. Adjusted operating margin was 14.7% against 14.8%. About $685m of IEEPA tariff refunds lowered cost of goods sold, offset by fuel, energy and input costs and lower-margin GMS sales.
- EPS up 4.6%. Diluted EPS was $4.79, up from $4.58; adjusted EPS was $4.92, up from $4.68.
- Guidance reaffirmed. For fiscal 2026 (the year to 31 January 2027) Home Depot expects sales growth of 2.5% to 4.5%, comparable sales flat to up 2%, an operating margin of 12.4% to 12.6% and diluted EPS flat to up 4% from $14.23.
- Cash goes to dividends and debt. First-half free cash flow was $9.7bn. Home Depot paid $4.6bn of dividends, repaid $3.0bn of long-term debt and has no plans to resume buybacks in fiscal 2026.
- Our value: $151.01 a share, about 54% below the $329.20 close on 30 October 2026, as of 2 November 2026. A two-stage cross-check gives $155.78; analysts' average price target is $379.

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