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Lowe's (LOW) Outpaces Stock Market Gains: What You Should Know
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In the latest trading session, Lowe's (LOW - Free Report) closed at $208.10, marking a +1.51% move from the previous day. This move outpaced the S&P 500's daily gain of 0.09%. At the same time, the Dow lost 0.03%, and the tech-heavy Nasdaq lost 2.51%.
Heading into today, shares of the home improvement retailer had gained 4.17% over the past month, lagging the Retail-Wholesale sector's gain of 4.58% and the S&P 500's gain of 6.17% in that time.
Lowe's will be looking to display strength as it nears its next earnings release, which is expected to be May 23, 2023. In that report, analysts expect Lowe's to post earnings of $3.54 per share. This would mark year-over-year growth of 0.85%. Our most recent consensus estimate is calling for quarterly revenue of $21.85 billion, down 7.63% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $13.84 per share and revenue of $88.84 billion. These totals would mark changes of -0.36% and -8.47%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Lowe's. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.02% higher. Lowe's currently has a Zacks Rank of #3 (Hold).
Digging into valuation, Lowe's currently has a Forward P/E ratio of 14.82. For comparison, its industry has an average Forward P/E of 13.5, which means Lowe's is trading at a premium to the group.
Meanwhile, LOW's PEG ratio is currently 1.17. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. LOW's industry had an average PEG ratio of 1.71 as of yesterday's close.
The Building Products - Retail industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 22, which puts it in the top 9% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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) Outpaces Stock Market Gains: What You Should Know
In the latest trading session, Lowe's (LOW - Free Report) closed at $208.10, marking a +1.51% move from the previous day. This move outpaced the S&P 500's daily gain of 0.09%. At the same time, the Dow lost 0.03%, and the tech-heavy Nasdaq lost 2.51%.
Heading into today, shares of the home improvement retailer had gained 4.17% over the past month, lagging the Retail-Wholesale sector's gain of 4.58% and the S&P 500's gain of 6.17% in that time.
Lowe's will be looking to display strength as it nears its next earnings release, which is expected to be May 23, 2023. In that report, analysts expect Lowe's to post earnings of $3.54 per share. This would mark year-over-year growth of 0.85%. Our most recent consensus estimate is calling for quarterly revenue of $21.85 billion, down 7.63% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $13.84 per share and revenue of $88.84 billion. These totals would mark changes of -0.36% and -8.47%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Lowe's. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.02% higher. Lowe's currently has a Zacks Rank of #3 (Hold).
Digging into valuation, Lowe's currently has a Forward P/E ratio of 14.82. For comparison, its industry has an average Forward P/E of 13.5, which means Lowe's is trading at a premium to the group.
Meanwhile, LOW's PEG ratio is currently 1.17. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. LOW's industry had an average PEG ratio of 1.71 as of yesterday's close.
The Building Products - Retail industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 22, which puts it in the top 9% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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.