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Lowe's (LOW) Gains As Market Dips: What You Should Know
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In the latest trading session, Lowe's (LOW - Free Report) closed at $182.66, marking a +0.16% move from the previous day. This move outpaced the S&P 500's daily loss of 0.3%. Elsewhere, the Dow lost 0.46%, while the tech-heavy Nasdaq lost 0.34%.
Coming into today, shares of the home improvement retailer had gained 1.88% in the past month. In that same time, the Retail-Wholesale sector gained 4.44%, while the S&P 500 gained 1.51%.
Lowe's will be looking to display strength as it nears its next earnings release. On that day, Lowe's is projected to report earnings of $4.68 per share, which would represent year-over-year growth of 10.12%. Meanwhile, our latest consensus estimate is calling for revenue of $28.34 billion, up 2.79% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $13.51 per share and revenue of $97.89 billion. These totals would mark changes of +12.21% and +1.7%, respectively, from last year.
Any recent changes to analyst estimates for Lowe's should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.11% higher within the past month. Lowe's currently has a Zacks Rank of #2 (Buy).
Looking at its valuation, Lowe's is holding a Forward P/E ratio of 13.5. This represents a premium compared to its industry's average Forward P/E of 8.41.
Also, we should mention that LOW has a PEG ratio of 1.08. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Building Products - Retail stocks are, on average, holding a PEG ratio of 1.72 based on yesterday's closing prices.
The Building Products - Retail industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 25, which puts it in the top 10% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Lowe's (LOW) Gains As Market Dips: What You Should Know
In the latest trading session, Lowe's (LOW - Free Report) closed at $182.66, marking a +0.16% move from the previous day. This move outpaced the S&P 500's daily loss of 0.3%. Elsewhere, the Dow lost 0.46%, while the tech-heavy Nasdaq lost 0.34%.
Coming into today, shares of the home improvement retailer had gained 1.88% in the past month. In that same time, the Retail-Wholesale sector gained 4.44%, while the S&P 500 gained 1.51%.
Lowe's will be looking to display strength as it nears its next earnings release. On that day, Lowe's is projected to report earnings of $4.68 per share, which would represent year-over-year growth of 10.12%. Meanwhile, our latest consensus estimate is calling for revenue of $28.34 billion, up 2.79% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $13.51 per share and revenue of $97.89 billion. These totals would mark changes of +12.21% and +1.7%, respectively, from last year.
Any recent changes to analyst estimates for Lowe's should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.11% higher within the past month. Lowe's currently has a Zacks Rank of #2 (Buy).
Looking at its valuation, Lowe's is holding a Forward P/E ratio of 13.5. This represents a premium compared to its industry's average Forward P/E of 8.41.
Also, we should mention that LOW has a PEG ratio of 1.08. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Building Products - Retail stocks are, on average, holding a PEG ratio of 1.72 based on yesterday's closing prices.
The Building Products - Retail industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 25, which puts it in the top 10% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.