- Lowe’s reported net sales of $23.96 billion for the second quarter, marking a 1.6% increase from the previous year and closely aligning with estimates of $23.98 billion.
- Adjusted Earnings Per Share (EPS) stood at $4.33, exceeding last year’s $4.10 and surpassing the estimate of $4.24.
- Comparable sales increased by 1.1%, slightly below the estimate of a 1.29% rise.
- The company’s gross profit reached $8.10 billion, a 2.6% year-over-year increase, beating the estimate of $8 billion.
- Gross margin improved to 33.8% from the previous year’s 33.5%, exceeding the estimated 33.5%.
- Total locations increased slightly to 1,753, aligning perfectly with estimates.
- Lowe’s forecasts total sales for 2026 to range between $84.5 billion and $85.5 billion, slightly higher than the previous forecast and close to the estimate of $84.45 billion.
- Adjusted EPS for 2026 is projected between $12.20 and $12.45, with an estimate of $12.32.
- The company maintains its capital expenditure forecast at about $2.5 billion, slightly above the estimate of $2.47 billion.
- Lowe’s plans to acquire Foundation Building Materials for $8.8 billion in cash.
- The outlook for full-year 2025 has been updated to include ADG, with comparable sales expected to be flat to a 1% increase.
- Analyst recommendations for Lowe’s stock include 21 buys, 13 holds, and 3 sells.
Lowe’s Companies Inc on Smartkarma
Independent analysts on Smartkarma have been closely covering Lowe’s Companies Inc, providing valuable insights on the company’s performance and strategic initiatives. Baptista Research, for instance, recently published a report on Lowe’s localization strategy and space productivity improvements, highlighting the potential for driving sales growth and market share in targeted segments. Despite a 1.7% decline in comparable sales during the first quarter of fiscal 2025, Lowe’s saw positive growth in Pro sales and online sales, reflecting improvements in both traffic and conversion rates.
Another analysis by Baptista Research focuses on Lowe’s Pro Business and Online Growth as strategic growth enablers. The company’s fourth-quarter earnings showed a slight increase in comparable sales and overall sales for the quarter, with promising figures for the 2024 fiscal year. These reports provide investors with a comprehensive view of Lowe’s performance and the key factors influencing its growth trajectory moving forward.
A look at Lowe’s Companies Inc Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 0 | |
| Dividend | 3 | |
| Growth | 3 | |
| Resilience | 4 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 2.8 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on the Smartkarma Smart Scores, Lowe’s Companies Inc seems to have a positive long-term outlook. With a strong Resilience and Momentum score of 4, the company is showing potential for steady performance and growth over time. This indicates that Lowe’s is well-positioned to weather economic uncertainties and capitalize on market opportunities. The above-average scores for Dividend and Growth further suggest that investors may benefit from both regular payouts and potential expansion in the company’s operations.
Lowe’s Companies Inc, a leading home improvement retailer in the United States, provides a wide range of building materials and services for home projects. Their emphasis on Resilience and Momentum, coupled with solid scores in Dividend and Growth, paints a favorable picture for the company’s future prospects. As Lowe’s continues to meet the demands of consumers in the home improvement market, investors may find confidence in the company’s ability to deliver sustained value and returns over the long term.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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