Home Depot's stock fell after earnings, but Goldman says it's primed for a major bounceback

A customer wearing a protective mask loads lumber onto a cart at a Home Depot store in Pleasanton, California, on Monday, Feb. 22, 2021.
David Paul Morris | Bloomberg | Getty Images

Home Depot's stock should erase its post-earnings dip as investors see the company's strength in the second half of the year, according to Goldman Sachs.

Shares of the retailer dropped 4.3% on Tuesday after Home Depot's comparable store sales growth missed expectations in its second-quarter report, overshadowing beats for earnings and revenue. They were flat in Wednesday's premarket.