Tuesday, May 18, 2010

Home Depot Disclosure Challenged Earnings Release

Home Depot (HD) has abandoned the earnings release as a form of shareholder communications. The latest one throws some macro numbers and then refers all to the conference call. The few tidbits of information indicate customer traffic is up. But average purchase is down by a few pennies.

Does this mean consumers are just doing the basics and are finally getting around to doing them. Frank Blake, Chairman & CEO reported strong growth in customer transactions. The average sale needs to increase to achieve operating leverage.

Management is still a little scarred to speak openly about operating issues.

Disclosure: No position in this stock