We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Will Home Depot's New AI Blueprint Tool Unlock Pro Productivity?
Read MoreHide Full Article
Key Takeaways
HD debuts AI-powered blueprint takeoffs tool to fast-track estimates and aid Pro project execution.
The tool replaces a weeks-long process with faster, accurate estimates to ease budgeting and planning.
HD leverages digital tools to strengthen its Pro value proposition and reduce project bottlenecks.
The Home Depot, Inc. (HD - Free Report) is enhancing its focus on professional contractors by introducing a new AI-powered tool designed to reshape how Pro customers plan and execute complex projects. The company highlighted that its blueprint takeoffs tool utilizes advanced AI and proprietary algorithms to analyze construction plans and generate material estimates with far greater speed and accuracy than traditional methods. This technology replaces the labor-intensive process that earlier took Pro customers weeks to complete.
The significance of this rollout lies in its direct impact on Pro productivity. Pros often work within tight budgets and timelines, and delays in estimation can hinder project sequencing and cash flow. Home Depot’s new system allows Pros to seamlessly transition from blueprint to purchasing within a single ecosystem. For a Pro handling large projects, saving weeks of estimation time provides a competitive edge, freeing up resources and enabling faster project bidding.
By incorporating this advanced technology, Home Depot is reinforcing its position as the go-to destination for all project requirements, from initial planning to material delivery. This development marks a significant step forward in catering to the Pro category.
This progress allows Home Depot to differentiate its Pro offerings not only through product assortment but also through digital infrastructure. The AI blueprint tool has strengthened the company’s position as a reliable partner to streamline project planning and remove bottlenecks.
Competitor Landscape: Floor & Decor and Lowe’s
Floor & Decor Holdings, Inc. (FND - Free Report) continues to lean on Pro engagement and strategic category expansion. Floor & Decor is emphasizing design services, connected customer initiatives, and Pro-focused growth, with Pro sales representing roughly half of revenues and showing resilience despite softer remodeling demand. Floor & Decor plans to invest in information technology infrastructure, e-commerce, and other store support center initiatives.
Meanwhile, Lowe's Companies, Inc. (LOW - Free Report) is accelerating its AI adoption to improve Pro efficiency, customer decision-making, and operational productivity. Lowe’s highlighted that engagement with its AI-powered Mylow and Mylow Companion virtual assistants more than doubles conversion rates, strengthening both DIY and Pro workflows. With deeper investment in AI, Lowe’s is targeting productivity gains.
What the Latest Metrics Say About Home Depot
Home Depot shares have fallen 17.4% in the past year compared with the industry’s decline of 22.5%.
Image Source: Zacks Investment Research
From a valuation standpoint, Home Depot trades at a forward price-to-earnings ratio of 23.24, higher than the industry’s 21.23. HD carries a Value Score of D.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for Home Depot’s current financial-year sales implies year-over-year growth of 3.2%, while the same for earnings per share suggests a decline of 4.5%.
Image Source: Zacks Investment Research
Home Depot currently carries a Zacks Rank #4 (Sell).
Image: Bigstock
Will Home Depot's New AI Blueprint Tool Unlock Pro Productivity?
Key Takeaways
The Home Depot, Inc. (HD - Free Report) is enhancing its focus on professional contractors by introducing a new AI-powered tool designed to reshape how Pro customers plan and execute complex projects. The company highlighted that its blueprint takeoffs tool utilizes advanced AI and proprietary algorithms to analyze construction plans and generate material estimates with far greater speed and accuracy than traditional methods. This technology replaces the labor-intensive process that earlier took Pro customers weeks to complete.
The significance of this rollout lies in its direct impact on Pro productivity. Pros often work within tight budgets and timelines, and delays in estimation can hinder project sequencing and cash flow. Home Depot’s new system allows Pros to seamlessly transition from blueprint to purchasing within a single ecosystem. For a Pro handling large projects, saving weeks of estimation time provides a competitive edge, freeing up resources and enabling faster project bidding.
By incorporating this advanced technology, Home Depot is reinforcing its position as the go-to destination for all project requirements, from initial planning to material delivery. This development marks a significant step forward in catering to the Pro category.
This progress allows Home Depot to differentiate its Pro offerings not only through product assortment but also through digital infrastructure. The AI blueprint tool has strengthened the company’s position as a reliable partner to streamline project planning and remove bottlenecks.
Competitor Landscape: Floor & Decor and Lowe’s
Floor & Decor Holdings, Inc. (FND - Free Report) continues to lean on Pro engagement and strategic category expansion. Floor & Decor is emphasizing design services, connected customer initiatives, and Pro-focused growth, with Pro sales representing roughly half of revenues and showing resilience despite softer remodeling demand. Floor & Decor plans to invest in information technology infrastructure, e-commerce, and other store support center initiatives.
Meanwhile, Lowe's Companies, Inc. (LOW - Free Report) is accelerating its AI adoption to improve Pro efficiency, customer decision-making, and operational productivity. Lowe’s highlighted that engagement with its AI-powered Mylow and Mylow Companion virtual assistants more than doubles conversion rates, strengthening both DIY and Pro workflows. With deeper investment in AI, Lowe’s is targeting productivity gains.
What the Latest Metrics Say About Home Depot
Home Depot shares have fallen 17.4% in the past year compared with the industry’s decline of 22.5%.
Image Source: Zacks Investment Research
From a valuation standpoint, Home Depot trades at a forward price-to-earnings ratio of 23.24, higher than the industry’s 21.23. HD carries a Value Score of D.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for Home Depot’s current financial-year sales implies year-over-year growth of 3.2%, while the same for earnings per share suggests a decline of 4.5%.
Image Source: Zacks Investment Research
Home Depot currently carries a Zacks Rank #4 (Sell).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.