Home Depot Inc. (HD) isn't exactly throwing confetti over 2026, but JPMorgan thinks the home improvement giant is sitting on a goldmine anyway.

After the company's Investor and Analyst Day on Tuesday, JPMorgan analyst Christopher Horvers kept his Overweight rating intact, even as Home Depot laid out what can only be described as measured expectations for the year ahead.

The guidance tells a story of caution: same-store sales growth between flat and 2%, total sales climbing 2.5% to 4.5%, and adjusted earnings growth somewhere between flat and 4%. That's not screaming optimism, especially coming off weakness in the second half of 2025 with limited visibility into what might spark stronger trends.

But here's where it gets interesting. Home Depot sees roughly $20 billion in pent-up demand continuing to accumulate through 2026. The company believes it's positioned to capture market share gains while riding a longer-term wave of home improvement demand that's been building beneath the surface.

The opportunity is massive. Home Depot pegs its total addressable market at around $1.1 trillion, with the consumer piece representing about $500 billion and the Pro market weighing in at approximately $600 billion.

"HD believes it has sufficient capacity for several years of growth, with the company now looking to unleash the capabilities of its asset base to drive share," Horvers noted.

Translation: Home Depot has the infrastructure ready. Now it's about execution and taking market share while demand slowly rebuilds.

What the Stock Says: Home Depot shares edged up 0.34% to $346.43 on Wednesday. With a market cap of $344.88 billion, the company stands as a heavyweight in specialty retail. Its P/E ratio of 23.55 suggests investors are pricing in growth expectations despite shares trading well below the 52-week high of $436.36. The 2.66% dividend yield offers some cushion for income-focused investors navigating choppy markets.