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Lowe's (LOW) Stock Sinks As Market Gains: What You Should Know
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In the latest market close, Lowe's (LOW - Free Report) reached $240.70, with a -1.53% movement compared to the previous day. The stock trailed the S&P 500, which registered a daily gain of 0.11%. Elsewhere, the Dow saw a downswing of 0.11%, while the tech-heavy Nasdaq appreciated by 0.23%.
Prior to today's trading, shares of the home improvement retailer had gained 1.51% over the past month. This has outpaced the Retail-Wholesale sector's gain of 0.04% and the S&P 500's gain of 1.5% in that time.
Investors will be eagerly watching for the performance of Lowe's in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $2.94, marking a 19.89% fall compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $21.07 billion, showing a 5.7% drop compared to the year-ago quarter.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $12.21 per share and a revenue of $84.48 billion, indicating changes of -7.5% and -2.2%, respectively, from the former 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 exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.2% lower. Right now, Lowe's possesses a Zacks Rank of #3 (Hold).
Digging into valuation, Lowe's currently has a Forward P/E ratio of 20.02. For comparison, its industry has an average Forward P/E of 14.33, which means Lowe's is trading at a premium to the group.
Meanwhile, LOW's PEG ratio is currently 1.81. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Building Products - Retail industry currently had an average PEG ratio of 1.81 as of yesterday's close.
The Building Products - Retail industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 66, finds itself in the top 27% echelons of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these 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) Stock Sinks As Market Gains: What You Should Know
In the latest market close, Lowe's (LOW - Free Report) reached $240.70, with a -1.53% movement compared to the previous day. The stock trailed the S&P 500, which registered a daily gain of 0.11%. Elsewhere, the Dow saw a downswing of 0.11%, while the tech-heavy Nasdaq appreciated by 0.23%.
Prior to today's trading, shares of the home improvement retailer had gained 1.51% over the past month. This has outpaced the Retail-Wholesale sector's gain of 0.04% and the S&P 500's gain of 1.5% in that time.
Investors will be eagerly watching for the performance of Lowe's in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $2.94, marking a 19.89% fall compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $21.07 billion, showing a 5.7% drop compared to the year-ago quarter.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $12.21 per share and a revenue of $84.48 billion, indicating changes of -7.5% and -2.2%, respectively, from the former 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 exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.2% lower. Right now, Lowe's possesses a Zacks Rank of #3 (Hold).
Digging into valuation, Lowe's currently has a Forward P/E ratio of 20.02. For comparison, its industry has an average Forward P/E of 14.33, which means Lowe's is trading at a premium to the group.
Meanwhile, LOW's PEG ratio is currently 1.81. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Building Products - Retail industry currently had an average PEG ratio of 1.81 as of yesterday's close.
The Building Products - Retail industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 66, finds itself in the top 27% echelons of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these 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.