Research Analysts Set Expectations for LOW FY2027 Earnings

Key Points

• Zacks Research lowered Lowe’s FY2027 EPS estimate to $12.25 from $12.45, broadly in line with the $12.26 consensus forecast, amid ongoing DIY and housing-market pressures.
• Analyst sentiment remains positive but measured: 23 analysts rate the stock a Buy, 11 a Hold and two a Sell, resulting in a “Moderate Buy” consensus and an average price target of $258.53.
• Lowe’s recently beat quarterly EPS expectations with $4.40 versus $4.22, while revenue rose 8.3% year over year to $25.96 billion. The company also declared a quarterly dividend of $1.25, equivalent to a 2.5% annualized yield.

Lowe's Companies, Inc. (NYSE:LOW - Free Report) - Analysts at Zacks Research decreased their FY2027 earnings estimates for shares of Lowe's Companies in a report issued on Tuesday, September 1st. Zacks Research analyst Team now expects that the home improvement retailer will earn $12.25 per share for the year, down from their previous estimate of $12.45. The consensus estimate for Lowe's Companies' current full-year earnings is $12.26 per share.

Several other research firms also recently commented on LOW. TD Cowen reiterated a "hold" rating and issued a $235.00 price target on shares of Lowe's Companies in a research report on Thursday, August 20th. UBS Group lowered their target price on Lowe's Companies from $285.00 to $275.00 and set a "buy" rating on the stock in a research note on Thursday, August 20th. Royal Bank Of Canada reaffirmed a "sector perform" rating and set a $231.00 price target on shares of Lowe's Companies in a report on Thursday, August 20th. HSBC reduced their target price on shares of Lowe's Companies from $260.00 to $220.00 and set a "hold" rating for the company in a research note on Thursday, May 21st. Finally, Sanford C. Bernstein lowered their price objective on Lowe's Companies from $303.00 to $281.00 and set an "outperform" rating on the stock in a report on Thursday, May 14th. Twenty-three investment analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and two have given a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average price target of $258.53.

Lowe's Companies Stock Down 0.2%

NYSE:LOW opened at $199.65 on Thursday. Lowe's Companies has a 52-week low of $199.34 and a 52-week high of $293.06. The stock's 50 day moving average price is $214.20 and its 200 day moving average price is $228.69. The company has a market capitalization of $112.02 billion, a PE ratio of 16.88, a P/E/G ratio of 2.66 and a beta of 0.85.

Lowe's Companies (NYSE:LOW - Get Free Report) last released its quarterly earnings data on Wednesday, August 19th. The home improvement retailer reported $4.40 earnings per share (EPS) for the quarter, beating the consensus estimate of $4.22 by $0.18. Lowe's Companies had a net margin of 7.34% and a negative return on equity of 75.67%. The company had revenue of $25.96 billion during the quarter, compared to the consensus estimate of $26.13 billion. During the same quarter in the prior year, the firm posted $4.33 earnings per share. Lowe's Companies's revenue for the quarter was up 8.3% on a year-over-year basis. Lowe's Companies has set its FY 2026 guidance at 12.250-12.250 EPS.

Institutional Trading of Lowe's Companies

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Natixis Advisors LLC increased its position in shares of Lowe's Companies by 3.5% in the fourth quarter. Natixis Advisors LLC now owns 630,956 shares of the home improvement retailer's stock worth $152,161,000 after acquiring an additional 21,119 shares in the last quarter. Bridges Investment Management Inc. grew its stake in Lowe's Companies by 6.1% during the 4th quarter. Bridges Investment Management Inc. now owns 446,441 shares of the home improvement retailer's stock valued at $107,664,000 after purchasing an additional 25,609 shares in the last quarter. Kathmere Capital Management LLC grew its stake in Lowe's Companies by 133.9% during the 1st quarter. Kathmere Capital Management LLC now owns 9,402 shares of the home improvement retailer's stock valued at $2,222,000 after purchasing an additional 5,383 shares in the last quarter. Glenview Trust Co increased its holdings in Lowe's Companies by 9.0% during the 4th quarter. Glenview Trust Co now owns 207,797 shares of the home improvement retailer's stock worth $50,112,000 after purchasing an additional 17,225 shares during the last quarter. Finally, LPL Financial LLC raised its position in shares of Lowe's Companies by 2.3% in the 4th quarter. LPL Financial LLC now owns 993,332 shares of the home improvement retailer's stock valued at $239,552,000 after purchasing an additional 22,175 shares in the last quarter. Hedge funds and other institutional investors own 74.06% of the company's stock.

Insider Activity

In other Lowe's Companies news, EVP Juliette Williams Pryor sold 9,330 shares of the stock in a transaction on Wednesday, June 17th. The stock was sold at an average price of $224.81, for a total transaction of $2,097,477.30. Following the transaction, the executive vice president owned 16,142 shares of the company's stock, valued at $3,628,883.02. This represents a 36.63% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this link. Also, EVP Margrethe R. Vagell sold 2,500 shares of the firm's stock in a transaction on Thursday, June 18th. The stock was sold at an average price of $223.83, for a total value of $559,575.00. Following the sale, the executive vice president owned 20,220 shares in the company, valued at $4,525,842.60. This trade represents a 11.00% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 25,980 shares of company stock valued at $5,796,937 over the last 90 days. Insiders own 0.29% of the company's stock.

Lowe's Companies Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, November 4th. Stockholders of record on Wednesday, October 21st will be given a $1.25 dividend. This represents a $5.00 dividend on an annualized basis and a dividend yield of 2.5%. The ex-dividend date of this dividend is Wednesday, October 21st. Lowe's Companies's payout ratio is currently 42.27%.

Key Lowe's Companies News

Here are the key news stories impacting Lowe's Companies this week:

• Positive Sentiment: Lowe’s Foundation launched the “Building Futures Skilled Trades Coalition,” partnering with NVIDIA, Bank of America, General Motors and more than 75 organizations to train and certify 1 million skilled-trades workers by 2035. The initiative could strengthen Lowe’s relationships with contractors and support long-term demand for home-improvement services. Lowe's partners with tech, auto leaders to address skilled labor shortage
• Positive Sentiment: Analysts at Zacks modestly increased their Q2 2029 EPS estimate to $4.89 from $4.88 and their Q2 2028 estimate to $4.56 from $4.55, indicating some confidence in longer-term earnings potential. Lowe's analyst estimates
• Neutral Sentiment: Management is emphasizing professional customers, online sales and Home Services as growth engines. However, analysts note that these gains have not fully offset weak DIY demand and housing-market pressure. Can Lowe's Pro Growth Justify Its Valuation Despite DIY Weakness?
• Negative Sentiment: Lowe’s reduced its fiscal 2026 outlook as softer DIY activity and housing-related challenges weigh on growth, raising concerns about the pace of earnings recovery. Lowe's Cuts 2026 Outlook as DIY Pressure Tests Its Growth Engines
• Negative Sentiment: Zacks lowered several future EPS estimates, including FY2028 to $12.94 from $13.60 and FY2029 to $13.90 from $14.62. Additional quarterly reductions reinforce investor concerns about longer-term earnings momentum. Lowe's earnings estimates
• Negative Sentiment: Dividend-focused analysis argues that Lowe’s dividend coverage is less comfortable than the headline yield suggests, potentially limiting future dividend increases and weighing on income-investor demand. Home Depot vs. Lowe's: One Dividend Looks Much Stronger Under the Hood

About Lowe's Companies

Lowe's Companies, Inc is a leading home improvement retailer that operates large-format stores and digital channels serving both do-it-yourself homeowners and professional contractors. The company offers a broad assortment of products including building materials, lumber, appliances, tools and hardware, plumbing and electrical supplies, paint, flooring, kitchen and bath fixtures, outdoor and garden products, and home decor. Lowe's also provides a range of services such as installation, home improvement financing, tool and equipment rental, and contractor-focused sales programs.

Operations are centered on a nationwide brick-and-mortar store network supported by distribution centers and an e-commerce platform that enables online ordering, delivery and in-store pickup.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source