Jim Cramer on Home Depot: “I Was Honestly Bracing for the Worst Here”

Jim Cramer on Home Depot: “I Was Honestly Bracing for the Worst Here” Syeda Seirut Javed Sat, May 30, 2026 at 5:08 PM GMT+2 2 min read HD LOW The Home Depot, Inc. (NYSE: HD ) was among the stocks Jim Cramer discussed in this changing market . Cramer mentioned the stock while discussing “legitimate disappointments,” as he commented: Finally, let’s talk about the legitimate disappointments, and this is tough; it was Home Depot and Lowe’s.

Now, we know interest rates have been rising, and that’s a nightmare for these home improvement chains. We own Home Depot for the Charitable Trust. I was honestly bracing for the worst here, but even though the numbers were not good, the stock held up surprisingly well.

It feels like it’s bottomed, actually rallied in response; expectations were so low. Still, the numbers were not encouraging. Home Depot posted a very modest top and bottom line beat, and same-store sales were up just 0.

6%. That’s below expectations and below my expectations. Management also reiterated the full-year forecast, which felt like a win given the economic backdrop.

They also noted that early May was pretty good. I think that saved the stock. But in the end, CEO Ted Decker acknowledged that Home Depot needs a strong housing market in order to thrive, and you can’t have that without lower rates.

We do not have a strong housing market. In the end, we own Home Depot for the Charitable Trust as a hedge against the possibility of rate cuts by the Federal Reserve, which I still believe will happen. Without rate cuts, the stock will probably hurt you.

But as I said in today’s Investing Club call… if the Fed actually cuts and I sold Home Depot beforehand, I’m going to be kicking myself for years, okay? Photo by Adam Nowakowski on Unsplash The Home Depot, Inc. (NYSE:HD) is a home improvement retailer that sells tools, building materials, and decor.

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