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Lowe's (LOW) Stock Falls Amid Market Uptick: What Investors Need to Know
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Lowe's (LOW - Free Report) closed at $210.55 in the latest trading session, marking a -1.83% move from the prior day. The stock's performance was behind the S&P 500's daily gain of 0.08%. Elsewhere, the Dow saw a downswing of 0.26%, while the tech-heavy Nasdaq appreciated by 0.36%.
Heading into today, shares of the home improvement retailer had lost 3.75% over the past month, lagging the Retail-Wholesale sector's gain of 0.71% and the S&P 500's gain of 2.4% in that time.
Analysts and investors alike will be keeping a close eye on the performance of Lowe's in its upcoming earnings disclosure. On that day, Lowe's is projected to report earnings of $1.68 per share, which would represent a year-over-year decline of 26.32%. At the same time, our most recent consensus estimate is projecting a revenue of $18.36 billion, reflecting a 18.18% fall from the equivalent quarter last year.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $13.02 per share and revenue of $86.14 billion. These totals would mark changes of -6.26% and -11.25%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for Lowe's. These revisions help to show the ever-changing nature of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. 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, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, there's been a 0.01% fall in the Zacks Consensus EPS estimate. Right now, Lowe's possesses a Zacks Rank of #3 (Hold).
With respect to valuation, Lowe's is currently being traded at a Forward P/E ratio of 16.48. This signifies a premium in comparison to the average Forward P/E of 13.11 for its industry.
It's also important to note that LOW currently trades at a PEG ratio of 1.52. 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. The Building Products - Retail was holding an average PEG ratio of 2.07 at yesterday's closing price.
The Building Products - Retail industry is part of the Retail-Wholesale sector. At present, this industry carries a Zacks Industry Rank of 165, placing it within the bottom 35% of over 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Lowe's (LOW) Stock Falls Amid Market Uptick: What Investors Need to Know
Lowe's (LOW - Free Report) closed at $210.55 in the latest trading session, marking a -1.83% move from the prior day. The stock's performance was behind the S&P 500's daily gain of 0.08%. Elsewhere, the Dow saw a downswing of 0.26%, while the tech-heavy Nasdaq appreciated by 0.36%.
Heading into today, shares of the home improvement retailer had lost 3.75% over the past month, lagging the Retail-Wholesale sector's gain of 0.71% and the S&P 500's gain of 2.4% in that time.
Analysts and investors alike will be keeping a close eye on the performance of Lowe's in its upcoming earnings disclosure. On that day, Lowe's is projected to report earnings of $1.68 per share, which would represent a year-over-year decline of 26.32%. At the same time, our most recent consensus estimate is projecting a revenue of $18.36 billion, reflecting a 18.18% fall from the equivalent quarter last year.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $13.02 per share and revenue of $86.14 billion. These totals would mark changes of -6.26% and -11.25%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for Lowe's. These revisions help to show the ever-changing nature of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. 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, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, there's been a 0.01% fall in the Zacks Consensus EPS estimate. Right now, Lowe's possesses a Zacks Rank of #3 (Hold).
With respect to valuation, Lowe's is currently being traded at a Forward P/E ratio of 16.48. This signifies a premium in comparison to the average Forward P/E of 13.11 for its industry.
It's also important to note that LOW currently trades at a PEG ratio of 1.52. 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. The Building Products - Retail was holding an average PEG ratio of 2.07 at yesterday's closing price.
The Building Products - Retail industry is part of the Retail-Wholesale sector. At present, this industry carries a Zacks Industry Rank of 165, placing it within the bottom 35% of over 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.