Research Analysts Set Expectations for LOW FY2027 Earnings

Key Points

• DA Davidson has reduced its FY2027 earnings per share estimate for Lowe's Companies to $13.31, down from $13.42, while maintaining a "Neutral" rating with a price target of $266.00.
• Multiple analysts have differing price targets for Lowe's, with Piper Sandler raising its target to $294.00 and KeyCorp increasing it to $300.00, while Morgan Stanley has lowered its target to $255.00.
• Lowe's declared an increased quarterly dividend of $1.20 per share, up from $1.15, reflecting a commitment to return value to shareholders with a yield of 1.8%.

Lowe's Companies, Inc. (NYSE:LOW - Free Report) - Investment analysts at DA Davidson dropped their FY2027 earnings per share estimates for Lowe's Companies in a research report issued to clients and investors on Thursday, August 21st. DA Davidson analyst M. Baker now forecasts that the home improvement retailer will earn $13.31 per share for the year, down from their prior forecast of $13.42. DA Davidson has a "Neutral" rating and a $266.00 price objective on the stock. The consensus estimate for Lowe's Companies' current full-year earnings is $11.90 per share.

Several other equities research analysts also recently weighed in on the company. Piper Sandler increased their price target on Lowe's Companies from $269.00 to $294.00 and gave the stock an "overweight" rating in a report on Thursday. KeyCorp increased their price target on Lowe's Companies from $266.00 to $300.00 and gave the stock an "overweight" rating in a report on Thursday. Morgan Stanley reduced their price target on Lowe's Companies from $300.00 to $255.00 and set an "overweight" rating on the stock in a report on Monday, May 5th. Stifel Nicolaus increased their price target on Lowe's Companies from $240.00 to $265.00 and gave the stock a "hold" rating in a report on Monday, August 18th. Finally, Gordon Haskett upgraded Lowe's Companies to a "hold" rating in a report on Wednesday, August 13th. Sixteen research analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and an average price target of $284.33.

Lowe's Companies Price Performance

Shares of LOW stock opened at $263.5780 on Monday. Lowe's Companies has a 1 year low of $206.38 and a 1 year high of $287.01. The stock's 50 day simple moving average is $230.09 and its two-hundred day simple moving average is $230.01. The company has a market cap of $147.72 billion, a PE ratio of 21.66, a price-to-earnings-growth ratio of 2.44 and a beta of 0.89.

Lowe's Companies (NYSE:LOW - Get Free Report) last issued its quarterly earnings data on Wednesday, August 20th. The home improvement retailer reported $4.33 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $4.24 by $0.09. Lowe's Companies had a negative return on equity of 52.02% and a net margin of 8.20%.The business had revenue of $23.96 billion for the quarter, compared to the consensus estimate of $23.99 billion. During the same period in the prior year, the business posted $4.10 earnings per share. The company's quarterly revenue was up 1.6% compared to the same quarter last year. Lowe's Companies has set its FY 2025 guidance at 12.200-12.450 EPS.

Lowe's Companies Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Wednesday, August 6th. Stockholders of record on Wednesday, July 23rd were paid a dividend of $1.20 per share. This is an increase from Lowe's Companies's previous quarterly dividend of $1.15. This represents a $4.80 annualized dividend and a dividend yield of 1.8%. The ex-dividend date was Wednesday, July 23rd. Lowe's Companies's payout ratio is 39.44%.

Insider Buying and Selling at Lowe's Companies

In other news, EVP Juliette Williams Pryor sold 1,130 shares of the firm's stock in a transaction on Tuesday, June 3rd. The stock was sold at an average price of $227.50, for a total transaction of $257,075.00. Following the transaction, the executive vice president owned 31,898 shares in the company, valued at approximately $7,256,795. This trade represents a 3.42% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through this link. Also, CEO Marvin R. Ellison sold 40,000 shares of the stock in a transaction on Wednesday, August 20th. The shares were sold at an average price of $264.10, for a total value of $10,564,000.00. Following the sale, the chief executive officer directly owned 249,043 shares in the company, valued at $65,772,256.30. This trade represents a 13.84% decrease in their position. The disclosure for this sale can be found here. Company insiders own 0.27% of the company's stock.

Institutional Trading of Lowe's Companies

Several hedge funds and other institutional investors have recently bought and sold shares of LOW. Brighton Jones LLC boosted its position in Lowe's Companies by 119.7% during the 4th quarter. Brighton Jones LLC now owns 31,965 shares of the home improvement retailer's stock valued at $7,889,000 after acquiring an additional 17,413 shares in the last quarter. Revolve Wealth Partners LLC boosted its position in Lowe's Companies by 31.6% during the 4th quarter. Revolve Wealth Partners LLC now owns 1,078 shares of the home improvement retailer's stock valued at $266,000 after acquiring an additional 259 shares in the last quarter. Coldstream Capital Management Inc. boosted its position in Lowe's Companies by 3.5% during the 4th quarter. Coldstream Capital Management Inc. now owns 16,989 shares of the home improvement retailer's stock valued at $4,193,000 after acquiring an additional 571 shares in the last quarter. Prosperity Consulting Group LLC boosted its position in shares of Lowe's Companies by 2.1% in the 4th quarter. Prosperity Consulting Group LLC now owns 3,419 shares of the home improvement retailer's stock worth $844,000 after purchasing an additional 69 shares in the last quarter. Finally, Mendel Capital Management LLC boosted its position in shares of Lowe's Companies by 6.6% in the 4th quarter. Mendel Capital Management LLC now owns 1,462 shares of the home improvement retailer's stock worth $361,000 after purchasing an additional 91 shares in the last quarter. Institutional investors own 74.06% of the company's stock.

About Lowe's Companies

Lowe's Companies, Inc, together with its subsidiaries, operates as a home improvement retailer in the United States. The company offers a line of products for construction, maintenance, repair, remodeling, and decorating. It also provides home improvement products, such as appliances, seasonal and outdoor living, lawn and garden, lumber, kitchens and bath, tools, paint, millwork, hardware, flooring, rough plumbing, building materials, décor, and electrical.

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