The flat revenue and modest EPS beat against a low consensus bar, combined with reaffirmed guidance, suggest limited near-term upside catalyst. The heavy share repurchase ($88M in Q1, $125M total including post-quarter) provides a floor but does not offset the lack of top-line growth. Monitor for any guidance revision on the next earnings call or signs of accelerating municipal demand to justify a more bullish stance.
Price Chart
Executive Summary
Core & Main reported fiscal Q1 2026 results with net sales essentially flat YoY at $1.91B, but GAAP diluted EPS grew 9.6% to $0.57, and Adjusted Diluted EPS (the Street convention) grew 5.9% to $0.72, beating the consensus estimate of $0.57 by 26.3%. The company reaffirmed its full-year FY2026 guidance for net sales of $7.8B-$7.9B and Adjusted EBITDA of $950M-$980M, while deploying $88M in share repurchases during the quarter. The flat revenue and modest EPS beat against a low consensus bar, combined with reaffirmed guidance, suggest limited upside catalyst for the stock.
Key Financial Metrics
Key Facts
- Q1 FY2026 net sales essentially flat at $1,910M vs $1,911M YoY
- GAAP diluted EPS grew 9.6% to $0.57; Adjusted Diluted EPS (Street convention) grew 5.9% to $0.72
- Adjusted Diluted EPS of $0.72 beat consensus estimate of $0.57 by 26.3%
- Gross profit margin expanded 50 bps YoY to 27.2%
- Adjusted EBITDA grew 0.9% to $226M; Adjusted EBITDA margin +10 bps to 11.8%
- Operating cash flow of $82M vs $77M in prior year period
- Deployed $88M to repurchase 1.8M shares in Q1; additional $37M for 0.8M shares post-quarter
- Reaffirmed FY2026 guidance: net sales $7.8B-$7.9B, Adjusted EBITDA $950M-$980M
- Net debt reduced to $2,010M from $2,276M YoY; no borrowings on $1.25B ABL facility
- Opened five new greenfield locations in Q1
Financial Impact
Net sales flat at $1.91B; GAAP diluted EPS $0.57 (+9.6% YoY); Adjusted Diluted EPS $0.72 (+5.9% YoY, +26.3% vs consensus $0.57)
Risk Factors
- Flat net sales YoY despite acquisitions and greenfield expansion, indicating organic volume declines
- SGA expenses grew 2.0% YoY, outpacing gross profit growth of 2.0%, pressuring operating leverage
- Reaffirmed guidance implies H2 acceleration to hit 2-3% full-year sales growth, which may not materialize
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 7 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001856525-26-000053 |
| Document: cnm-20260610.htm | 0001856525-26-000053 |
| Document: cnmq12026investorpresent.htm | 0001856525-26-000053 |
| Document: 0001856525-26-000053-index-headers.html | 0001856525-26-000053 |
| Document: 0001856525-26-000053-index.html | 0001856525-26-000053 |
| Document: 0001856525-26-000053.txt | 0001856525-26-000053 |
| 8-K Data (Synthetic) | 0001856525-26-000053 |
Track record builds as more directional reports settle.
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Sep 9, 2026 6w ago | 8-K | $41.60 | awaiting T+60 | — | $42.38 (+1.88%) |
Jul 16, 2026 14w ago | Institutional Cluster | $45.24 $40.67 | ▲ +10.10% | ▲ +14.78% | $42.38 (+6.32%) |
Jul 8, 2026 15w ago | Insider Buy | $45.21 $41.35 | ▼ −8.54% | ▼ −10.17% | $42.38 (−6.26%) |
Jun 25, 2026 17w ago | 8-K | $49.14 $43.06 | ▼ −12.37% | ▼ −18.48% | $42.38 (−13.76%) |
Jun 22, 2026 18w ago | 8-K | $47.25 $41.08 | ▼ −13.06% | ▼ −14.80% | $42.38 (−10.31%) |
Jun 10, 2026 19w ago | 8-K | $49.44 $43.98 | ▼ −11.04% | ▼ −17.62% | $42.38 (−14.28%) |
May 7, 2026 24w ago | DEFA14A | $49.66 $45.75 | ▼ −7.87% | ▼ −11.71% | $42.38 (−14.66%) |
Apr 20, 2026 27w ago | 144 | $49.73 $45.78 | ▼ −7.94% | ▼ −14.84% | $42.38 (−14.78%) |
Apr 15, 2026 27w ago | 144 | $51.97 $44.74 | ▼ −13.91% | ▼ −20.96% | $42.38 (−18.45%) |
Apr 10, 2026 28w ago | 8-K | $51.45 $45.75 | ▼ −11.08% | ▼ −21.41% | $42.38 (−17.63%) |
US Market Status
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