Home Depot has also doubled down on its investments to appeal to the "pro" customer, including its $18.25 billion deal for SRS in March. The company posted a 1.3% decline in comparable sales, the smallest decline since the fourth quarter of 2022, compared with analysts' average estimate of a 3.25% drop, according to data compiled by LSEG.

The home-improvement retailer said sales came in higher than expected in the third quarter as weather around the country normalized and as demand rose for certain home projects.

Home Depot shares were modestly lower by midday Tuesday after its third-quarter results came in above estimates and the retailer also lifted fiscal 2024 sales projections.