Lowe's Companies, Inc. $LOW Position Increased by Convergence Investment Partners LLC

Key Points

• Convergence Investment Partners LLC boosted its Lowe’s stake by 698.1% in the fourth quarter, ending with 10,391 shares valued at about $2.5 million.
• Lowe’s reported fiscal Q4 earnings of $1.98 per share, topping estimates, while revenue rose 10.9% year over year to $20.59 billion. The company also issued FY 2026 EPS guidance of $12.25 to $12.75.
• Wall Street remains cautiously optimistic: the stock has a consensus rating of Moderate Buy with an average price target of $286.17, though several analysts recently trimmed their targets. Lowe’s also paid a $1.20 quarterly dividend, or $4.80 annualized, for a yield of about 2.2%.

Convergence Investment Partners LLC increased its stake in Lowe's Companies, Inc. (NYSE:LOW - Free Report) by 698.1% during the 4th quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The fund owned 10,391 shares of the home improvement retailer's stock after purchasing an additional 9,089 shares during the period. Convergence Investment Partners LLC's holdings in Lowe's Companies were worth $2,506,000 at the end of the most recent reporting period.

Several other hedge funds have also made changes to their positions in the stock. Northwestern Mutual Investment Management Company LLC lifted its holdings in shares of Lowe's Companies by 0.3% in the 4th quarter. Northwestern Mutual Investment Management Company LLC now owns 17,918 shares of the home improvement retailer's stock worth $4,321,000 after purchasing an additional 55 shares during the last quarter. Clarendon Private LLC lifted its holdings in shares of Lowe's Companies by 4.6% in the 4th quarter. Clarendon Private LLC now owns 2,838 shares of the home improvement retailer's stock worth $684,000 after purchasing an additional 124 shares during the last quarter. Phoenix Financial Ltd. lifted its holdings in shares of Lowe's Companies by 13.3% in the 4th quarter. Phoenix Financial Ltd. now owns 5,974 shares of the home improvement retailer's stock worth $1,440,000 after purchasing an additional 700 shares during the last quarter. Bedminster LLC bought a new stake in shares of Lowe's Companies in the 4th quarter worth approximately $207,000. Finally, Bessemer Group Inc. raised its stake in Lowe's Companies by 3,540.1% during the 4th quarter. Bessemer Group Inc. now owns 843,487 shares of the home improvement retailer's stock valued at $203,415,000 after acquiring an additional 820,315 shares in the last quarter. Institutional investors own 74.06% of the company's stock.

Lowe's Companies Stock Performance

Shares of LOW stock opened at $218.54 on Friday. Lowe's Companies, Inc. has a 1 year low of $210.33 and a 1 year high of $293.06. The stock has a market cap of $122.39 billion, a PE ratio of 18.44, a price-to-earnings-growth ratio of 4.28 and a beta of 0.91. The business's fifty day moving average is $238.04 and its 200-day moving average is $248.82.

Lowe's Companies (NYSE:LOW - Get Free Report) last issued its quarterly earnings results on Wednesday, February 25th. The home improvement retailer reported $1.98 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.94 by $0.04. Lowe's Companies had a negative return on equity of 61.40% and a net margin of 7.71%.The company had revenue of $20.59 billion for the quarter, compared to analysts' expectations of $20.34 billion. During the same period last year, the firm earned $1.93 EPS. The firm's revenue for the quarter was up 10.9% on a year-over-year basis. Lowe's Companies has set its FY 2026 guidance at 12.250-12.75 EPS. Equities research analysts predict that Lowe's Companies, Inc. will post 12.61 earnings per share for the current year.

Lowe's Companies Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Wednesday, May 6th. Investors of record on Wednesday, April 22nd were issued a $1.20 dividend. This represents a $4.80 dividend on an annualized basis and a dividend yield of 2.2%. The ex-dividend date was Wednesday, April 22nd. Lowe's Companies's payout ratio is presently 40.51%.

Wall Street Analyst Weigh In

Several analysts have weighed in on the company. Sanford C. Bernstein cut their target price on Lowe's Companies from $303.00 to $281.00 and set an "outperform" rating on the stock in a research note on Thursday. Bank of America assumed coverage on Lowe's Companies in a research note on Tuesday, May 5th. They set a "neutral" rating on the stock. Rothschild & Co Redburn lifted their target price on Lowe's Companies from $280.00 to $290.00 and gave the company a "buy" rating in a research note on Thursday, February 26th. BTIG Research downgraded Lowe's Companies to a "reduce" rating in a research note on Tuesday. Finally, Raymond James Financial downgraded Lowe's Companies from a "market perform" rating to a "market perform" rating in a research note on Tuesday. Twenty-two equities research analysts have rated the stock with a Buy rating, twelve have issued a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and an average price target of $286.17.

Key Stories Impacting Lowe's Companies

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

• Positive Sentiment: Analyst commentary remains constructive overall, with Truist and Sanford C. Bernstein both maintaining bullish ratings on Lowe’s while trimming price targets, suggesting Wall Street still sees upside from current levels. Read More
• Positive Sentiment: Investors are looking ahead to Lowe’s Q1 earnings, where Wall Street expects detailed metrics and guidance to help confirm whether recent weakness is temporary or reflects a softer home-improvement demand backdrop. Article Title
• Neutral Sentiment: Lowe’s launched a new “Epically More Messi” marketing campaign tied to loyalty members and the upcoming soccer event, which could support engagement and brand visibility but is not likely a major near-term earnings driver. Article Title
• Neutral Sentiment: Recent articles highlight Lowe’s long-term stock performance and label it a depressed or growth-worthy stock, reinforcing valuation appeal more than changing the near-term operating outlook. Article Title
• Negative Sentiment: The stock has been weighed by recent price-target cuts from multiple firms, including Sanford C. Bernstein and Truist, which signal some caution around the pace of recovery even though ratings remain positive. Article Title
• Negative Sentiment: Broader retail and housing-related concerns remain a headwind, with coverage noting pressure from a softer housing market and shopper sensitivity to retail-theft-related measures in stores. Article Title

Lowe's Companies Profile

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.

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