Lowe's (LOW) Stock Moves -0.48%: What You Should Know

Lowe's (LOW) closed the most recent trading day at $109.62, moving -0.48% from the previous trading session. This change was narrower than the S&P 500's 0.7% loss on the day. Meanwhile, the Dow lost 0.92%, and the Nasdaq, a tech-heavy index, added 0.51%.

Investors will be hoping for strength from LOW as it approaches its next earnings release, which is expected to be May 20, 2020. On that day, LOW is projected to report earnings of $1.29 per share, which would represent year-over-year growth of 5.74%. Our most recent consensus estimate is calling for quarterly revenue of $18.13 billion, up 2.22% from the year-ago period.

LOW's full-year Zacks Consensus Estimates are calling for earnings of $5.86 per share and revenue of $72.42 billion. These results would represent year-over-year changes of +2.45% and +0.37%, respectively.

Investors should also note any recent changes to analyst estimates for LOW. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 4.15% lower. LOW is currently a Zacks Rank #3 (Hold).

In terms of valuation, LOW is currently trading at a Forward P/E ratio of 18.79. For comparison, its industry has an average Forward P/E of 15.77, which means LOW is trading at a premium to the group.

Investors should also note that LOW has a PEG ratio of 1.28 right now. 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 1.7 at yesterday's closing price.

The Building Products - Retail industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 238, putting it in the bottom 7% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
 
Lowes Companies Inc (LOW) : Free Stock Analysis Report
 
To read this article on Zacks.com click here.