Home Depot Buys SRS Distribution for $18.25B in Move To Expand Pro Market
44 minutes ago
Shares of Home Depot (HD) dipped Thursday after it said it would acquire SRS Distribution, a company that distributes roofing materials and other construction products to a network of contractors, in a $18.25 billion deal as Home Depot looks to expand its share of the professional contractor market.
The home improvement retailer said it plans to fund its purchase of SRS Distribution through a combination of cash on hand and debt, and expects the deal to be closed by the end of its 2024 fiscal year. Home Depot estimated its total addressable market will be about $1 trillion once the deal closes, representing a boost of about $50 billion.
Home Depot shares were down about 1.4% at $380.38 Thursday morning. They’ve gained nearly 10% so far this year, and over 35% in the last 12 months.
-Aaron McDade
Chemours Stock Drops As Accounting Probe, Soft Outlook Overshadow Earnings Beat
1 hr 30 min ago
Shares in chemicals maker Chemours (CC) were down more than 12% in early trading Thursday as the disclosure of further details relating to an internal accounting probe and a soft current-quarter outlook overshadowed quarterly results that came in ahead of expectations.
In late February, the company placed its three most senior executives, including former CEO Mark Newman, on administrative leave, revealing about a week later that an internal review found they had manipulated accounting records, in part, to meet cash flow targets linked to incentive compensation .
The company said that “material weaknesses” identified in its internal review did not contribute to any material misstatements in its financial statements but did result in immaterial revisions in several reporting periods between 2021 and 2023.
In its latest quarter ending Dec. 31, the Teflon maker reported adjusted earnings of 31 cents per share, comfortably ahead of the 25 cents a share consensus view, with the bottom line benefiting from lower costs. Revenue in the period of $1.36 billion improved 1.7% from a year earlier and topped the $1.32 billion forecast by analysts.
-Timothy Smith
Stocks Making the Biggest Moves Premarket
2 hrs 25 mins ago
Gains:
- RH Inc. (RH): Shares of the home furnishings retailer jumped 9% after projecting revenue growth would pick up later in the year despite contracting slightly in the current quarter.
- Snowflake Inc. (SNOW): Shares of the cloud data warehousing software maker rose about 3% after a regulatory filing showed CEO Sridhar Ramaswamy acquired about $5 million worth of the company’s stock.
- Coinbase Global (COIN): Shares of the cryptocurrency exchange rose more than 1% as the price of bitcoin climbed back above $70,000.
Losses:
- MillerKnoll Inc. (MLKN): Shares of the furniture maker tumbled 15% after its fiscal third-quarter revenue fell short of analyst estimates. It also forecast lower-than-expected fourth-quarter earnings and sales.
- Reddit Inc. (RDDT): Shares of the social media platform slid 4% after tumbling 11% yesterday. Shares traded as high as $74.90, more than double its IPO price, earlier in the week.
- Palantir Technologies Inc. (PLTR): Shares of the data analytics software firm fell 1% after an analyst at Monness, Crespi, Hardy & Co. downgraded the stock to sell, citing its “excessive” valuation following the stock’s AI-fueled run-up.
Stock Futures Little Changed Heading Into Last Day of Q1
2 hrs 54 mins ago
Futures contracts connected to the Dow Jones Industrial Average were less than 0.1% higher in premarket trading on Thursday.
S&P 500 futures were also effectively flat.
Nasdaq 100 futures were little changed, as well.
