Diamonds and Dogs

8/16/23

Home Depot (HD) modestly higher following better than expected earnings.Sales fell 2.0% to $42.92 billion. Management said the fears of a recession have subsided as the consumer remains generally healthy, but pulling back from major ticket items. Managment, however, did not give the all clear sign as the cusotmr could pull back on more puchases into the year end. 

Hawaiian Electric Industries (HE) is down 25% today and down 60% in the last two weeks due to a growing concern that the electric power lines started the deadly fires in Hawaii. S&P Global Ratings downgraded the company to BB- or junk status as a class action lawsuit has already been filed against Hawaiian Electric on behalf of residents who have had their homes destroyed by wildfires. If the company is found to be at fault for the blaze, it could lead to billions of dollars in liabilities.