In the latest trading session, Lowe's (LOW) closed at $188.12, marking a -0.13% move from the previous day. This move was narrower than the S&P 500's daily loss of 0.84%. Elsewhere, the Dow lost 0.36%, while the tech-heavy Nasdaq lost 0.19%.
Prior to today's trading, shares of the home improvement retailer had lost 9.62% over the past month. This has lagged the Retail-Wholesale sector's loss of 9.36% and was narrower than the S&P 500's loss of 10.24% in that time.
Investors will be hoping for strength from Lowe's as it approaches its next earnings release. In that report, analysts expect Lowe's to post earnings of $3.10 per share. This would mark year-over-year growth of 13.55%. Our most recent consensus estimate is calling for quarterly revenue of $23.09 billion, up 0.77% from the year-ago period.
LOW's full-year Zacks Consensus Estimates are calling for earnings of $13.51 per share and revenue of $96.96 billion. These results would represent year-over-year changes of +12.21% and +0.74%, respectively.
It is also important to note the recent changes to analyst estimates for Lowe's. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.01% higher. Lowe's currently has a Zacks Rank of #3 (Hold).
In terms of valuation, Lowe's is currently trading at a Forward P/E ratio of 13.94. This represents a premium compared to its industry's average Forward P/E of 8.39.
It is also worth noting that LOW currently has a PEG ratio of 1.06. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Building Products - Retail was holding an average PEG ratio of 1.45 at yesterday's closing price.
The Building Products - Retail industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 95, which puts it in the top 38% of all 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 Companies, Inc. (LOW) : Free Stock Analysis Report
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