LOW vs. HD, BKNG, TJX, MELI, SBUX, CMG, CVS, TGT, MCD, and ORLY
Should you be buying Lowe's Companies stock or one of its competitors? The main competitors of Lowe's Companies include Home Depot (HD), Booking (BKNG), TJX Companies (TJX), MercadoLibre (MELI), Starbucks (SBUX), Chipotle Mexican Grill (CMG), CVS Health (CVS), Target (TGT), McDonald's (MCD), and O'Reilly Automotive (ORLY). These companies are all part of the "retail/wholesale" sector.
Lowe's Companies (NYSE:LOW) and Home Depot (NYSE:HD) are both large-cap retail/wholesale companies, but which is the better stock? We will compare the two businesses based on the strength of their institutional ownership, community ranking, earnings, risk, media sentiment, profitability, dividends, analyst recommendations and valuation.
74.1% of Lowe's Companies shares are held by institutional investors. Comparatively, 70.9% of Home Depot shares are held by institutional investors. 0.3% of Lowe's Companies shares are held by company insiders. Comparatively, 0.1% of Home Depot shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.
Home Depot has higher revenue and earnings than Lowe's Companies. Lowe's Companies is trading at a lower price-to-earnings ratio than Home Depot, indicating that it is currently the more affordable of the two stocks.
In the previous week, Lowe's Companies had 7 more articles in the media than Home Depot. MarketBeat recorded 79 mentions for Lowe's Companies and 72 mentions for Home Depot. Lowe's Companies' average media sentiment score of 0.50 beat Home Depot's score of 0.35 indicating that Lowe's Companies is being referred to more favorably in the media.
Lowe's Companies pays an annual dividend of $4.40 per share and has a dividend yield of 2.0%. Home Depot pays an annual dividend of $9.00 per share and has a dividend yield of 2.7%. Lowe's Companies pays out 35.3% of its earnings in the form of a dividend. Home Depot pays out 60.4% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.
Home Depot received 315 more outperform votes than Lowe's Companies when rated by MarketBeat users. Likewise, 71.55% of users gave Home Depot an outperform vote while only 69.81% of users gave Lowe's Companies an outperform vote.
Lowe's Companies has a beta of 1.15, suggesting that its stock price is 15% more volatile than the S&P 500. Comparatively, Home Depot has a beta of 1.01, suggesting that its stock price is 1% more volatile than the S&P 500.
Lowe's Companies presently has a consensus price target of $251.33, indicating a potential upside of 14.43%. Home Depot has a consensus price target of $377.46, indicating a potential upside of 14.94%. Given Home Depot's stronger consensus rating and higher probable upside, analysts plainly believe Home Depot is more favorable than Lowe's Companies.
Home Depot has a net margin of 9.79% compared to Lowe's Companies' net margin of 8.46%. Home Depot's return on equity of 1,056.67% beat Lowe's Companies' return on equity.
Summary
Home Depot beats Lowe's Companies on 14 of the 20 factors compared between the two stocks.
This chart shows the number of new MarketBeat users adding LOW and its top 5 competitors to their watchlist. Each company is represented with a line over a 90 day period.
This chart shows the average media sentiment of NYSE and its competitors over the past 90 days as caculated by MarketBeat. The averaged score is equivalent to the following: Very Negative Sentiment <= -1.5, Negative Sentiment > -1.5 and <= -0.5, Neutral Sentiment > -0.5 and < 0.5, Positive Sentiment >= 0.5 and < 1.5, and Very Positive Sentiment >= 1.5.
Lowe's Companies Competitors List
Related Companies and Tools
