DIY giants growing very profitably

The DIY giants Home Depot and Lowe’s have become some of the world’s biggest and most valuable retailers.

With $150 billion in sales Home Depot is among the top 5 and Lowe’s with nearly $100 billion is around the top 10 list.

Both retailers grew revenues really fast during the pandemic. However, both of them have also been able to sustain the heightened level of sales even during 2021. Home Depot has even grown almost 10% every quarter after the most severe pandemic influences since Q1/2021.

One reason why especially Home Depot has become so highly valued retailer in the stock market is that the company operates really profitable business with net margins around 10%.

During 2021 Home Depot made profits up to $15 billion. That is more than Walmart did even though Walmart is more than three times bigger than Home Depot.

Home Depot is by far one of the most profitable retailers in the world.

And for both companies all this growth is achieved with very limited online presence.