The Home Depot, Inc. (HD) 10-Q 25 May 21 2021 Q1 Quarterly report Financial data

Cover Page

Cover Page - shares	3 Months Ended
	May 02, 2021	May 18, 2021
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	May 2, 2021
Document Transition Report	false
Entity File Number	1-8207
Entity Registrant Name	HOME DEPOT, INC.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	95-3261426
Entity Address, Address Line One	2455 Paces Ferry Road
Entity Address, City or Town	Atlanta,
Entity Address, State or Province	GA
Entity Address, Postal Zip Code	30339
City Area Code	770
Local Phone Number	433-8211
Title of 12(b) Security	Common Stock, $0.05 Par Value Per Share
Trading Symbol	HD
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		1,063,258,434
Entity Central Index Key	0000354950
Current Fiscal Year End Date	--01-30
Document Fiscal Year Focus	2021
Document Fiscal Period Focus	Q1
Amendment Flag	false

Consolidated Balance Sheets (Un

Consolidated Balance Sheets (Unaudited) - USD ($) $ in Millions	May 02, 2021	Jan. 31, 2021
Current assets:
Cash and cash equivalents	$ 6,648	$ 7,895
Receivables, net	3,624	2,992
Merchandise inventories	19,178	16,627
Other current assets	1,222	963
Total current assets	30,672	28,477
Net property and equipment	24,673	24,705
Operating lease right-of-use assets	5,864	5,962
Goodwill	7,137	7,126
Other assets	4,221	4,311
Total assets	72,567	70,581
Current liabilities:
Accounts payable	14,494	11,606
Accrued salaries and related expenses	2,167	2,463
Sales taxes payable	1,149	774
Deferred revenue	3,415	2,823
Current installments of long-term debt	1,164	1,416
Current operating lease liabilities	803	828
Other accrued expenses	4,566	3,256
Total current liabilities	27,758	23,166
Long-term debt, excluding current installments	34,697	35,822
Long-term operating lease liabilities	5,279	5,356
Other long-term liabilities	3,085	2,938
Total liabilities	70,819	67,282
Common stock, par value $0.05; authorized: 10,000 shares; issued: 1,790 shares at May 2, 2021 and 1,789 shares at January 31, 2021; outstanding: 1,065 shares at May 2, 2021 and 1,077 shares at January 31, 2021	90	89
Paid-in capital	11,555	11,540
Retained earnings	60,504	58,134
Accumulated other comprehensive loss	(608)	(671)
Treasury stock, at cost, 725 shares at May 2, 2021 and 712 shares at January 31, 2021	(69,793)	(65,793)
Total stockholders’ equity	1,748	3,299
Total liabilities and stockholders’ equity	$ 72,567	$ 70,581

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - $ / shares shares in Millions	May 02, 2021	Jan. 31, 2021
Statement of Financial Position [Abstract]
Common stock, par value (in dollars per share)	$ 0.05	$ 0.05
Common stock, shares authorized (in shares)	10,000	10,000
Common stock, shares, issued (in shares)	1,790	1,789
Common stock, shares outstanding (in shares)	1,065	1,077
Treasury stock, shares (in shares)	725	712

Consolidated Statements of Earn

Consolidated Statements of Earnings (Unaudited) - USD ($) shares in Millions, $ in Millions	3 Months Ended
	May 02, 2021	May 03, 2020
Income Statement [Abstract]
Net sales	$ 37,500	$ 28,260
Cost of sales	24,758	18,635
Gross profit	12,742	9,625
Operating expenses:
Selling, general and administrative	6,374	5,829
Depreciation and amortization	587	520
Total operating expenses	6,961	6,349
Operating income	5,781	3,276
Interest and other (income) expense:
Interest and investment income	(6)	(17)
Interest expense	339	324
Interest and other, net	333	307
Earnings before provision for income taxes	5,448	2,969
Provision for income taxes	1,303	724
Net earnings	$ 4,145	$ 2,245
Basic weighted average common shares (in shares)	1,071	1,073
Basic earnings per share (in dollars per share)	$ 3.87	$ 2.09
Diluted weighted average common shares (in shares)	1,075	1,077
Diluted earnings per share (in dollars per share)	$ 3.86	$ 2.08

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Millions	3 Months Ended
	May 02, 2021	May 03, 2020
Statement of Comprehensive Income [Abstract]
Net earnings	$ 4,145	$ 2,245
Other comprehensive income (loss), net of tax:
Foreign currency translation adjustments	34	(419)
Cash flow hedges	2	0
Other	27	10
Total other comprehensive income (loss)	63	(409)
Comprehensive income	$ 4,208	$ 1,836

Consolidated Statements of Stoc

Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($) $ in Millions	Total	Common Stock	Paid-in Capital	Retained Earnings	Accumulated Other Comprehensive Income (Loss)	Treasury Stock
Balance at beginning of period at Feb. 02, 2020		$ 89	$ 11,001	$ 51,729	$ (739)	$ (65,196)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Shares issued under employee stock plans			(71)
Stock-based compensation expense			78
Net earnings	$ 2,245			2,245
Cash dividends				(1,611)
Other				(9)
Foreign currency translation adjustments, net of tax					(419)
Cash flow hedges, net of tax	0
Other, net of tax	10				10
Repurchases of common stock						(597)
Balance at end of period at May. 03, 2020	(3,490)	89	11,008	52,354	(1,148)	(65,793)
Balance at beginning of period at Jan. 31, 2021	3,299	89	11,540	58,134	(671)	(65,793)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Shares issued under employee stock plans		1	(117)
Stock-based compensation expense			132
Net earnings	4,145			4,145
Cash dividends				(1,775)
Foreign currency translation adjustments, net of tax					34
Cash flow hedges, net of tax	2				2
Other, net of tax	27				27
Repurchases of common stock						(4,000)
Balance at end of period at May. 02, 2021	$ 1,748	$ 90	$ 11,555	$ 60,504	$ (608)	$ (69,793)

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Millions	3 Months Ended
	May 02, 2021	May 03, 2020
Cash Flows from Operating Activities:
Net earnings	$ 4,145	$ 2,245
Reconciliation of net earnings to net cash provided by operating activities:
Depreciation and amortization	703	607
Stock-based compensation expense	146	88
Changes in receivables, net	(640)	(534)
Changes in merchandise inventories	(2,519)	(633)
Changes in other current assets	(277)	62
Changes in accounts payable and accrued expenses	3,013	3,274
Changes in deferred revenue	586	71
Changes in income taxes payable	1,138	594
Changes in deferred income taxes	(87)	(68)
Other operating activities	102	31
Net cash provided by operating activities	6,310	5,737
Cash Flows from Investing Activities:
Capital expenditures	(524)	(586)
Other investing activities	(4)	8
Net cash used in investing activities	(528)	(578)
Cash Flows from Financing Activities:
Repayments of short-term debt, net	0	(974)
Proceeds from long-term debt, net of discounts and premiums	0	4,960
Repayments of long-term debt	(1,390)	(27)
Repurchases of common stock	(3,788)	(791)
Proceeds from sales of common stock	13	18
Cash dividends	(1,775)	(1,611)
Other financing activities	(130)	(125)
Net cash (used in) provided by financing activities	(7,070)	1,450
Change in cash and cash equivalents	(1,288)	6,609
Effect of exchange rate changes on cash and cash equivalents	41	(46)
Cash and cash equivalents at beginning of period	7,895	2,133
Cash and cash equivalents at end of period	6,648	8,696
Supplemental Disclosures:
Cash paid for interest, net of interest capitalized	382	338
Cash paid for income taxes	$ 226	$ 59

Summary of Significant Accounti

Summary of Significant Accounting Policies	3 Months Ended
	May 02, 2021
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The accompanying consolidated financial statements of The Home Depot, Inc. and its subsidiaries (the "Company," "Home Depot," "we," "our" or "us") have been prepared in accordance with the instructions to Form 10-Q and do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Results of operations for interim periods are not necessarily indicative of results for the entire year. As a result, these consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in our 2020 Form 10-K. There were no significant changes to our significant accounting policies as disclosed in the 2020 Form 10-K. Recently Adopted Accounting Pronouncements ASU No. 2019-12. In December 2019, the FASB issued ASU No. 2019-12, “Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes,” as part of its overall simplification initiative to reduce costs and complexity of applying accounting standards while maintaining or improving the usefulness of the information provided to users of financial statements. Amendments include removal of certain exceptions to the general principles of Topic 740, “Income Taxes,” and simplification in several other areas. On February 1, 2021, we adopted ASU No. 2019-12 with no material impact to our consolidated financial condition, results of operations or cash flows. Recently Issued Accounting Pronouncements Recent accounting pronouncements pending adoption not discussed above or in the 2020 Form 10-K are either not applicable or will not have or are not expected to have a material impact on our consolidated financial condition, results of operations or cash flows.

Net Sales

Net Sales	3 Months Ended
	May 02, 2021
Revenue from Contract with Customer [Abstract]
Net Sales	NET SALES Net Sales No sales to an individual customer accounted for more than 10% of our net sales during the three months ended May 2, 2021 or May 3, 2020. The following table presents net sales, classified by geography: Three Months Ended in millions May 2, May 3, Net sales – in the U.S. $ 34,717 $ 26,418 Net sales – outside the U.S. 2,783 1,842 Net sales $ 37,500 $ 28,260 The following table presents net sales by products and services: Three Months Ended in millions May 2, May 3, Net sales – products $ 36,271 $ 27,305 Net sales – services 1,229 955 Net sales $ 37,500 $ 28,260 The following table presents major product lines and the related merchandising departments (and related services): Major Product Line Merchandising Departments Building Materials Building Materials, Electrical/Lighting, Lumber, Millwork, and Plumbing Décor Appliances, Décor/Storage, Flooring, Kitchen and Bath, and Paint Hardlines Hardware, Indoor Garden, Outdoor Garden, and Tools The following table presents net sales by major product lines (and related services): Three Months Ended in millions May 2, May 3, Building Materials $ 13,660 $ 9,816 Décor 11,882 9,306 Hardlines 11,958 9,138 Net sales $ 37,500 $ 28,260 Deferred Revenue For product and services sold in stores or online, payment is typically due at the point of sale. When we receive payment from customers before the customer has taken possession of the merchandise or the service has been performed, the amount received is recorded as deferred revenue until the sale or service is complete. Such performance obligations are part of contracts with expected original durations of three months or less. As of May 2, 2021 and January 31, 2021, deferred revenue for products and services was $2.5 billion and $1.9 billion, respectively. We further record deferred revenue for the sale of gift cards and recognize the associated revenue upon the redemption of those gift cards in net sales, which generally occurs within six months of gift card issuance. As of May 2, 2021 and January 31, 2021, our performance obligations for unredeemed gift cards were $793 million and $839 million, respectively. Gift card breakage income, which is our estimate of the portion of our gift card balance not expected to be redeemed, was immaterial during the three months ended May 2, 2021 and May 3, 2020.

Property and Leases

Property and Leases	3 Months Ended
	May 02, 2021
Leases [Abstract]
Property and Leases	PROPERTY AND LEASES Net Property and Equipment Net property and equipment includes accumulated depreciation and amortization of $24.7 billion as of May 2, 2021 and $24.1 billion as of January 31, 2021. Leases The following table presents the consolidated balance sheet location of assets and liabilities related to operating and finance leases: in millions Consolidated Balance Sheet Caption May 2, January 31, Assets: Operating lease assets Operating lease right-of-use assets $ 5,864 $ 5,962 Finance lease assets (1) Net property and equipment 2,636 2,493 Total lease assets $ 8,500 $ 8,455 Liabilities: Current: Operating lease liabilities Current operating lease liabilities $ 803 $ 828 Finance lease liabilities Current installments of long-term debt 165 66 Long-term: Operating lease liabilities Long-term operating lease liabilities 5,279 5,356 Finance lease liabilities Long-term debt, excluding current installments 2,753 2,700 Total lease liabilities $ 9,000 $ 8,950 ————— (1) Finance lease assets are recorded net of accumulated amortization of $871 million as of May 2, 2021 and $815 million as of January 31, 2021. The following table presents supplemental non-cash information related to leases: Three Months Ended in millions May 2, May 3, Lease assets obtained in exchange for new operating lease liabilities $ 164 $ 294 Lease assets obtained in exchange for new finance lease liabilities 200 306
Property and Leases	PROPERTY AND LEASES Net Property and Equipment Net property and equipment includes accumulated depreciation and amortization of $24.7 billion as of May 2, 2021 and $24.1 billion as of January 31, 2021. Leases The following table presents the consolidated balance sheet location of assets and liabilities related to operating and finance leases: in millions Consolidated Balance Sheet Caption May 2, January 31, Assets: Operating lease assets Operating lease right-of-use assets $ 5,864 $ 5,962 Finance lease assets (1) Net property and equipment 2,636 2,493 Total lease assets $ 8,500 $ 8,455 Liabilities: Current: Operating lease liabilities Current operating lease liabilities $ 803 $ 828 Finance lease liabilities Current installments of long-term debt 165 66 Long-term: Operating lease liabilities Long-term operating lease liabilities 5,279 5,356 Finance lease liabilities Long-term debt, excluding current installments 2,753 2,700 Total lease liabilities $ 9,000 $ 8,950 ————— (1) Finance lease assets are recorded net of accumulated amortization of $871 million as of May 2, 2021 and $815 million as of January 31, 2021. The following table presents supplemental non-cash information related to leases: Three Months Ended in millions May 2, May 3, Lease assets obtained in exchange for new operating lease liabilities $ 164 $ 294 Lease assets obtained in exchange for new finance lease liabilities 200 306

Stockholders' Equity

Stockholders' Equity	3 Months Ended
	May 02, 2021
Equity [Abstract]
Stockholders' Equity	STOCKHOLDERS' EQUITY Stock Rollforward The following table presents a reconciliation of the number of shares of our common stock and cash dividends per share: shares in millions Three Months Ended May 2, May 3, Common stock: Balance at beginning of period 1,789 1,786 Shares issued under employee stock plans 1 2 Balance at end of period 1,790 1,788 Treasury stock: Balance at beginning of period (712) (709) Repurchases of common stock (13) (3) Balance at end of period (725) (712) Shares outstanding at end of period 1,065 1,076 Cash dividends per share $ 1.65 $ 1.50 Share Repurchases In February 2019, our Board of Directors authorized $15.0 billion in share repurchases, of which approximately $3.7 billion remained available as of May 2, 2021. In May 2021, our Board of Directors approved a $20.0 billion share repurchase authorization that replaced the February 2019 authorization. This new authorization does not have a prescribed expiration date. In March 2020, we suspended our share repurchases to enhance our liquidity position during the COVID-19 pandemic. We resumed share repurchases in the first quarter of fiscal 2021 and repurchased 13 million shares of our common stock for $4.0 billion through open market purchases. In the first quarter of fiscal 2020, we repurchased 3 million shares of our common stock for $597 million through open market purchases prior to the suspension of share repurchases. These amounts may differ from the repurchases of common stock amounts in the consolidated statements of cash flows due to unsettled share repurchases at the end of a period.

Fair Value Measurements

Fair Value Measurements	3 Months Ended
	May 02, 2021
Fair Value Disclosures [Abstract]
Fair Value Measurements	FAIR VALUE MEASUREMENTS The fair value of an asset is considered to be the price at which the asset could be sold in an orderly transaction between unrelated knowledgeable and willing parties. A liability’s fair value is defined as the amount that would be paid to transfer the liability to a new obligor, rather than the amount that would be paid to settle the liability with the creditor. Assets and liabilities recorded at fair value are measured using a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value. Assets and Liabilities Measured at Fair Value on a Recurring Basis The following table presents the assets and liabilities that are measured at fair value on a recurring basis: Fair Value at May 2, 2021 Using Fair Value at January 31, 2021 Using in millions Quoted Prices in Active Markets for Identical Assets Significant Significant Quoted Prices in Active Markets for Identical Assets Significant Significant Derivative agreements – assets $ — $ 117 $ — $ — $ 172 $ — Derivative agreements – liabilities — (200) — — (71) — Total $ — $ (83) $ — $ — $ 101 $ — The fair values of our derivative instruments are determined using an income approach and Level 2 inputs, which include the respective interest rate and foreign currency forward curves and discount rates. Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis Long-lived assets, goodwill, and other intangible assets are subject to nonrecurring fair value measurement for the assessment of impairment. We did not have any material assets or liabilities that were measured at fair value on a nonrecurring basis as of May 2, 2021 or January 31, 2021. Other Fair Value Disclosures The carrying amounts of cash and cash equivalents, receivables, and accounts payable approximate fair value due to the short-term maturities of these financial instruments. The following table presents the aggregate fair values and carrying values of our senior notes: May 2, January 31, in millions Fair Value Carrying Fair Value Carrying Senior notes $ 37,864 $ 32,943 $ 41,289 $ 34,472

Weighted Average Common Shares

Weighted Average Common Shares	3 Months Ended
	May 02, 2021
Earnings Per Share [Abstract]
Weighted Average Common Shares	WEIGHTED AVERAGE COMMON SHARES The following table presents the reconciliation of our basic to diluted weighted average common shares: Three Months Ended in millions May 2, May 3, Basic weighted average common shares 1,071 1,073 Effect of potentially dilutive securities 4 4 Diluted weighted average common shares 1,075 1,077 Anti-dilutive securities excluded from diluted weighted average common shares — —

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	May 02, 2021
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	COMMITMENTS AND CONTINGENCIESWe are involved in litigation arising in the normal course of business. In management’s opinion, any such litigation is not expected to have a material adverse effect on our consolidated financial condition, results of operations or cash flows.

HD Supply Acquisition

HD Supply Acquisition	3 Months Ended
	May 02, 2021
Business Combinations [Abstract]
HD Supply Acquisition	HD SUPPLY ACQUISITION On December 24, 2020, we completed the acquisition of HD Supply for total purchase consideration of $8.7 billion. HD Supply is a leading national distributor of MRO products in the multifamily and hospitality end markets. The acquisition was funded through cash on hand, a portion of which was replaced with the proceeds from our issuance of $3.0 billion of senior notes in January 2021. The acquisition was accounted for in accordance with Topic 805 "Business Combinations" and, accordingly, HD Supply’s results of operations have been consolidated in the Company’s financial statements since December 24, 2020, the date of acquisition. We recorded a preliminary allocation of the purchase price to assets acquired and liabilities assumed based on their estimated fair values as of December 24, 2020. There were no material adjustments to our preliminary purchase price allocation recognized during the first quarter of fiscal 2021. The final determination of the fair values and related income tax impacts will be completed as soon as practicable, and within the measurement period of up to one year from the acquisition date as permitted under GAAP.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	3 Months Ended
	May 02, 2021
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The accompanying consolidated financial statements of The Home Depot, Inc. and its subsidiaries (the "Company," "Home Depot," "we," "our" or "us") have been prepared in accordance with the instructions to Form 10-Q and do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Results of operations for interim periods are not necessarily indicative of results for the entire year. As a result, these consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in our 2020 Form 10-K.
Recently Adopted and Issued Accounting Pronouncements	Recently Adopted Accounting Pronouncements ASU No. 2019-12. In December 2019, the FASB issued ASU No. 2019-12, “Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes,” as part of its overall simplification initiative to reduce costs and complexity of applying accounting standards while maintaining or improving the usefulness of the information provided to users of financial statements. Amendments include removal of certain exceptions to the general principles of Topic 740, “Income Taxes,” and simplification in several other areas. On February 1, 2021, we adopted ASU No. 2019-12 with no material impact to our consolidated financial condition, results of operations or cash flows. Recently Issued Accounting Pronouncements Recent accounting pronouncements pending adoption not discussed above or in the 2020 Form 10-K are either not applicable or will not have or are not expected to have a material impact on our consolidated financial condition, results of operations or cash flows.

Net Sales (Tables)

Net Sales (Tables)	3 Months Ended
	May 02, 2021
Revenue from Contract with Customer [Abstract]
Summary of net sales, classified by geography	The following table presents net sales, classified by geography: Three Months Ended in millions May 2, May 3, Net sales – in the U.S. $ 34,717 $ 26,418 Net sales – outside the U.S. 2,783 1,842 Net sales $ 37,500 $ 28,260
Summary of net sales by products and services	The following table presents net sales by products and services: Three Months Ended in millions May 2, May 3, Net sales – products $ 36,271 $ 27,305 Net sales – services 1,229 955 Net sales $ 37,500 $ 28,260
Summary of net sales by major product line	The following table presents major product lines and the related merchandising departments (and related services): Major Product Line Merchandising Departments Building Materials Building Materials, Electrical/Lighting, Lumber, Millwork, and Plumbing Décor Appliances, Décor/Storage, Flooring, Kitchen and Bath, and Paint Hardlines Hardware, Indoor Garden, Outdoor Garden, and Tools The following table presents net sales by major product lines (and related services): Three Months Ended in millions May 2, May 3, Building Materials $ 13,660 $ 9,816 Décor 11,882 9,306 Hardlines 11,958 9,138 Net sales $ 37,500 $ 28,260

Property and Leases (Tables)

Property and Leases (Tables)	3 Months Ended
	May 02, 2021
Leases [Abstract]
Schedule of assets and liabilities related to operating and finance leases	The following table presents the consolidated balance sheet location of assets and liabilities related to operating and finance leases: in millions Consolidated Balance Sheet Caption May 2, January 31, Assets: Operating lease assets Operating lease right-of-use assets $ 5,864 $ 5,962 Finance lease assets (1) Net property and equipment 2,636 2,493 Total lease assets $ 8,500 $ 8,455 Liabilities: Current: Operating lease liabilities Current operating lease liabilities $ 803 $ 828 Finance lease liabilities Current installments of long-term debt 165 66 Long-term: Operating lease liabilities Long-term operating lease liabilities 5,279 5,356 Finance lease liabilities Long-term debt, excluding current installments 2,753 2,700 Total lease liabilities $ 9,000 $ 8,950 —————
Schedule of Cash Flow, Supplemental Disclosures	The following table presents supplemental non-cash information related to leases: Three Months Ended in millions May 2, May 3, Lease assets obtained in exchange for new operating lease liabilities $ 164 $ 294 Lease assets obtained in exchange for new finance lease liabilities 200 306

Stockholders' Equity (Tables)

Stockholders' Equity (Tables)	3 Months Ended
	May 02, 2021
Equity [Abstract]
Reconciliation of the number of shares of common stock and dividends per share	The following table presents a reconciliation of the number of shares of our common stock and cash dividends per share: shares in millions Three Months Ended May 2, May 3, Common stock: Balance at beginning of period 1,789 1,786 Shares issued under employee stock plans 1 2 Balance at end of period 1,790 1,788 Treasury stock: Balance at beginning of period (712) (709) Repurchases of common stock (13) (3) Balance at end of period (725) (712) Shares outstanding at end of period 1,065 1,076 Cash dividends per share $ 1.65 $ 1.50

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	3 Months Ended
	May 02, 2021
Fair Value Disclosures [Abstract]
Assets and liabilities measured at fair value on a recurring basis	The following table presents the assets and liabilities that are measured at fair value on a recurring basis: Fair Value at May 2, 2021 Using Fair Value at January 31, 2021 Using in millions Quoted Prices in Active Markets for Identical Assets Significant Significant Quoted Prices in Active Markets for Identical Assets Significant Significant Derivative agreements – assets $ — $ 117 $ — $ — $ 172 $ — Derivative agreements – liabilities — (200) — — (71) — Total $ — $ (83) $ — $ — $ 101 $ —
Assets and liabilities measured at fair value on a nonrecurring basis	The following table presents the aggregate fair values and carrying values of our senior notes: May 2, January 31, in millions Fair Value Carrying Fair Value Carrying Senior notes $ 37,864 $ 32,943 $ 41,289 $ 34,472

Weighted Average Common Shares

Weighted Average Common Shares (Tables)	3 Months Ended
	May 02, 2021
Earnings Per Share [Abstract]
Schedule of weighted average number of shares	The following table presents the reconciliation of our basic to diluted weighted average common shares: Three Months Ended in millions May 2, May 3, Basic weighted average common shares 1,071 1,073 Effect of potentially dilutive securities 4 4 Diluted weighted average common shares 1,075 1,077 Anti-dilutive securities excluded from diluted weighted average common shares — —

Net Sales (Details)

Net Sales (Details) - USD ($) $ in Millions	3 Months Ended
	May 02, 2021	May 03, 2020
Disaggregation of Revenue [Line Items]
Net sales	$ 37,500	$ 28,260
Products
Disaggregation of Revenue [Line Items]
Net sales	36,271	27,305
Services
Disaggregation of Revenue [Line Items]
Net sales	1,229	955
Building Materials
Disaggregation of Revenue [Line Items]
Net sales	13,660	9,816
Décor
Disaggregation of Revenue [Line Items]
Net sales	11,882	9,306
Hardlines
Disaggregation of Revenue [Line Items]
Net sales	11,958	9,138
In the U.S.
Disaggregation of Revenue [Line Items]
Net sales	34,717	26,418
Outside the U.S.
Disaggregation of Revenue [Line Items]
Net sales	$ 2,783	$ 1,842

Net Sales - Narrative (Details)

Net Sales - Narrative (Details) - USD ($) $ in Millions	3 Months Ended
	May 02, 2021	Jan. 31, 2021
Revenue from Contract with Customer [Abstract]
Deferred revenue	$ 2,500	$ 1,900
General redemption period	6 months
Gift card performance obligations	$ 793	$ 839

Property and Leases - Narrative

Property and Leases - Narrative (Details) - USD ($) $ in Billions	May 02, 2021	Jan. 31, 2021
Leases [Abstract]
Accumulated depreciation and amortization	$ 24.7	$ 24.1

Property and Leases - Schedule

Property and Leases - Schedule of assets and liabilities related to operating and finance leases (Details) - USD ($) $ in Millions	May 02, 2021	Jan. 31, 2021
Assets
Operating lease assets	$ 5,864	$ 5,962
Finance lease assets	2,636	2,493
Total lease assets	8,500	8,455
Current:
Operating lease liabilities	803	828
Finance lease liabilities	165	66
Long-term:
Operating lease liabilities	5,279	5,356
Finance lease liabilities	2,753	2,700
Total lease liabilities	9,000	8,950
Finance lease asset accumulated amortization	$ 871	$ 815

Property and Leases - Other Lea

Property and Leases - Other Lease Information (Details) - USD ($) $ in Millions	3 Months Ended
	May 02, 2021	May 03, 2020
Leases [Abstract]
Lease assets obtained in exchange for new operating lease liabilities	$ 164	$ 294
Lease assets obtained in exchange for new finance lease liabilities	$ 200	$ 306

Stockholders' Equity - Schedule

Stockholders' Equity - Schedule of Reconciliation of the Number of Shares of Common Stock and Dividends Per Share (Details) - $ / shares shares in Millions	3 Months Ended
	May 02, 2021	May 03, 2020	Jan. 31, 2021
Common stock:
Balance at beginning of period (in shares)	1,789	1,786
Shares issued under employee stock plans (in shares)	1	2
Balance at end of period (in shares)	1,790	1,788
Treasury stock:
Balance at beginning of period (in shares)	(712)	(709)
Repurchases of common stock (in shares)	(13)	(3)
Balance at end of period (in shares)	(725)	(712)
Shares outstanding at end of period (in shares)	1,065	1,076	1,077
Cash dividends per share (in usd per share)	$ 1.65	$ 1.50

Stockholders' Equity - Narrativ

Stockholders' Equity - Narrative (Details) - USD ($) shares in Millions, $ in Millions	3 Months Ended
	May 02, 2021	May 03, 2020	May 20, 2021	Feb. 28, 2019
2019 Share Repurchase Program
Equity, Class of Treasury Stock [Line Items]
Share repurchase amount				$ 15,000
Remaining authorized repurchase amount	$ 3,700
Shares repurchased	13	3
Treasury stock value	$ 4,000	$ 597
2021 Share Repurchase Program | Subsequent Event
Equity, Class of Treasury Stock [Line Items]
Share repurchase amount			$ 20,000

Fair Value Measurements - Asset

Fair Value Measurements - Assets and Liabilities Measured at Fair Value on a Recurring Basis (Details) - Fair value measurements recurring - USD ($) $ in Millions	May 02, 2021	Jan. 31, 2021
Fair value inputs level 1
Fair Value, Assets and Liabilities Measured on a Recurring Basis [Line Items]
Derivative agreements – assets	$ 0	$ 0
Derivative agreements – liabilities	0	0
Total	0	0
Fair value inputs level 2
Fair Value, Assets and Liabilities Measured on a Recurring Basis [Line Items]
Derivative agreements – assets	117	172
Derivative agreements – liabilities	(200)	(71)
Total	(83)	101
Fair value inputs level 3
Fair Value, Assets and Liabilities Measured on a Recurring Basis [Line Items]
Derivative agreements – assets	0	0
Derivative agreements – liabilities	0	0
Total	$ 0	$ 0

Fair Value Measurements - Ass_2

Fair Value Measurements - Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis (Details) - USD ($) $ in Millions	May 02, 2021	Jan. 31, 2021
Fair Value, Assets and Liabilities Measured on a Nonrecurring Basis [Line Items]
Carrying value of senior notes	$ 32,943	$ 34,472
Senior notes | Fair Value measurements nonrecurring | Fair value inputs level 1
Fair Value, Assets and Liabilities Measured on a Nonrecurring Basis [Line Items]
Fair value of senior notes	$ 37,864	$ 41,289

Weighted Average Common Share_2

Weighted Average Common Shares - Reconciliation of Basic to Diluted Weighted Average Common Shares (Details) - shares shares in Millions	3 Months Ended
	May 02, 2021	May 03, 2020
Reconciliation of Basic to Diluted Weighted Average Common Shares:
Basic weighted average common shares (in shares)	1,071	1,073
Effect of potentially dilutive securities (in shares)	4	4
Diluted weighted average common shares (in shares)	1,075	1,077
Anti-dilutive securities excluded from diluted weighted average common shares (in shares)	0	0

HD Supply Acquisition (Details)

HD Supply Acquisition (Details) - USD ($) $ in Billions	Dec. 24, 2020	Jan. 31, 2021
Senior notes
Business Acquisition [Line Items]
Proceeds from issuance of long-term debt		$ 3
HD Holdings Inc
Business Acquisition [Line Items]
Consideration transferred	$ 8.7