Lowe's Companies, Inc. (LOW - Free Report) , the world’s second-largest home improvement retailer, posted third-quarter fiscal 2016 adjusted earnings of 88 cents per share that missed the Zacks Consensus Estimate of 96 cents but grew 10% from 80 cents delivered in the year-ago quarter.
Earnings Estimate Revision: The Zacks Consensus Estimate for fiscal 2016 has been trending down in the last 30 days. In the trailing four quarters (excluding the quarter under review), the company has missed the Zacks Consensus Estimate by an average of 0.4%.
Revenues: Lowe's net sales of $15,739 million advanced 9.6% year over year but missed the Zacks Consensus Estimate of $15,798 million. Comparable sales increased 2.7% during the quarter.
Key Events: Lowe's, which operated 2,119 home improvement and hardware outlets as of Oct 28, bought back $550 million worth of shares under its buyback program and paid $309 million in dividends in the quarter under review. The company plans to open about 40 home improvement and hardware outlets in fiscal 2016.
Guidance: Management expects earnings of approximately $3.52 per share for fiscal 2016. Further, the company anticipates total sales growth of about 9–10% (including the 53rd week), while comparable sales are expected to jump 3–4% in fiscal 2016.
Zacks Rank: Currently, Lowe's carries a Zacks Rank #4 (Sell) which is subject to change following the earnings announcement.
Stock Movement: Lowe’s shares are down nearly 2.8% during pre-market trading hours following the earnings release.
Check back later for our full write up on Lowe’s earnings report!
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