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Lowe's (LOW) Falls More Steeply Than Broader Market: What Investors Need to Know

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Lowe's (LOW - Free Report) closed the most recent trading day at $227.67, moving -1.7% from the previous trading session. This move lagged the S&P 500's daily loss of 0.35%. Meanwhile, the Dow experienced a drop of 0.36%, and the technology-dominated Nasdaq saw a decrease of 0.39%.

Prior to today's trading, shares of the home improvement retailer had gained 22.99% outpaced the Retail-Wholesale sector's gain of 6.05% and the S&P 500's loss of 2.42%.

Investors will be eagerly watching for the performance of Lowe's in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on November 18, 2026. On that day, Lowe's is projected to report earnings of $2.86 per share, which would represent a year-over-year decline of 6.54%. Our most recent consensus estimate is calling for quarterly revenue of $22.38 billion, up 7.51% from the year-ago period.

For the full year, the Zacks Consensus Estimates project earnings of $12.26 per share and a revenue of $91.98 billion, demonstrating changes of -0.24% and +6.6%, respectively, from the preceding year.

Investors should also take note of any recent adjustments to analyst estimates for Lowe's. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. 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, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.01% decrease. Lowe's is currently sporting a Zacks Rank of #3 (Hold).

In the context of valuation, Lowe's is at present trading with a Forward P/E ratio of 18.89. This represents no noticeable deviation compared to its industry average Forward P/E of 18.89.

Investors should also note that LOW has a PEG ratio of 1.99 right now. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. By the end of yesterday's trading, the Retail - Home Furnishings industry had an average PEG ratio of 1.49.

The Retail - Home Furnishings industry is part of the Retail-Wholesale sector. With its current Zacks Industry Rank of 176, this industry ranks in the bottom 29% of all industries, numbering over 250.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.

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