Retail and consumer exchange traded funds were flat on Tuesday following mixed quarterly results from Wal-Mart (NYSE: WMT) and Home Depot (NYSE: HD).
Home Depot shares gained ground on Tuesday. Jefferies analysts said company’s earnings were better than expected on improved expense control, despite softer sales while the sales forecast for the year was unchanged.
“We believe this anticipates a seasonal sales bounce-back after the first quarter and the benefit of favorable currency translation,” the analysts said in a note on the home-improvement giant’s quarterly results. “We still expect stronger sales from a repair cycle this spring following harsh weather.”
Meanwhile, Wal-Mart shares were weak Tuesday even though the company’s profit exceeded forecasts.
“Early risers are displaying mixed emotions on Wal-Mart’s first-quarter numbers,” Wall Street Strategies said in a report Tuesday. “We think the report was adequate at best. However, for every positive facet of the quarter there seemed to be twice as many negatives.”