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Lowe's (LOW) Declines More Than Market: Some Information for Investors
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In the latest market close, Lowe's (LOW - Free Report) reached $264.97, with a -0.4% movement compared to the previous day. This change lagged the S&P 500's daily loss of 0.19%. Elsewhere, the Dow lost 0.7%, while the tech-heavy Nasdaq added 0.04%.
The the stock of home improvement retailer has risen by 7.03% in the past month, leading the Retail-Wholesale sector's gain of 6.04% and the S&P 500's gain of 1.95%.
The investment community will be closely monitoring the performance of Lowe's in its forthcoming earnings report. The company is predicted to post an EPS of $2.82, indicating a 7.84% decline compared to the equivalent quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $19.86 billion, showing a 2.96% drop compared to the year-ago quarter.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $11.93 per share and revenue of $82.98 billion, indicating changes of -9.62% and -3.93%, respectively, compared to the previous year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Lowe's. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.11% lower. As of now, Lowe's holds a Zacks Rank of #3 (Hold).
Looking at its valuation, Lowe's is holding a Forward P/E ratio of 22.3. This denotes a premium relative to the industry's average Forward P/E of 19.34.
We can additionally observe that LOW currently boasts a PEG ratio of 2.18. 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. The Building Products - Retail was holding an average PEG ratio of 3.35 at yesterday's closing price.
The Building Products - Retail industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 176, finds itself in the bottom 31% echelons 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.
To follow LOW in the coming trading sessions, be sure to utilize Zacks.com.
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Lowe's (LOW) Declines More Than Market: Some Information for Investors
In the latest market close, Lowe's (LOW - Free Report) reached $264.97, with a -0.4% movement compared to the previous day. This change lagged the S&P 500's daily loss of 0.19%. Elsewhere, the Dow lost 0.7%, while the tech-heavy Nasdaq added 0.04%.
The the stock of home improvement retailer has risen by 7.03% in the past month, leading the Retail-Wholesale sector's gain of 6.04% and the S&P 500's gain of 1.95%.
The investment community will be closely monitoring the performance of Lowe's in its forthcoming earnings report. The company is predicted to post an EPS of $2.82, indicating a 7.84% decline compared to the equivalent quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $19.86 billion, showing a 2.96% drop compared to the year-ago quarter.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $11.93 per share and revenue of $82.98 billion, indicating changes of -9.62% and -3.93%, respectively, compared to the previous year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Lowe's. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.11% lower. As of now, Lowe's holds a Zacks Rank of #3 (Hold).
Looking at its valuation, Lowe's is holding a Forward P/E ratio of 22.3. This denotes a premium relative to the industry's average Forward P/E of 19.34.
We can additionally observe that LOW currently boasts a PEG ratio of 2.18. 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. The Building Products - Retail was holding an average PEG ratio of 3.35 at yesterday's closing price.
The Building Products - Retail industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 176, finds itself in the bottom 31% echelons 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.
To follow LOW in the coming trading sessions, be sure to utilize Zacks.com.