Research Analysts Set Expectations for LOW Q3 Earnings

Key Points

• Analysts at DA Davidson estimate Lowe's Q3 2026 earnings at $2.94 per share and set a price target of $266.00 on the stock, maintaining a "Neutral" rating.
• Lowe's reported a net margin of 8.20% for the quarter with earnings of $4.33 per share, surpassing estimates by $0.09.
• The company recently increased its quarterly dividend from $1.15 to $1.20, which reflects a 1.9% dividend yield.

Lowe's Companies, Inc. (NYSE:LOW - Free Report) - Analysts at DA Davidson issued their Q3 2026 earnings estimates for Lowe's Companies in a report issued on Thursday, August 21st. DA Davidson analyst M. Baker expects that the home improvement retailer will earn $2.94 per share for the quarter. DA Davidson has a "Neutral" rating and a $266.00 price target on the stock. The consensus estimate for Lowe's Companies' current full-year earnings is $11.90 per share. DA Davidson also issued estimates for Lowe's Companies' FY2026 earnings at $12.28 EPS.

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 for the quarter, beating analysts' consensus estimates of $4.24 by $0.09. The company had revenue of $23.96 billion for the quarter, compared to the consensus estimate of $23.99 billion. Lowe's Companies had a net margin of 8.20% and a negative return on equity of 52.02%. The firm's revenue for the quarter was up 1.6% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $4.10 earnings per share. Lowe's Companies has set its FY 2025 guidance at 12.200-12.450 EPS.

Other analysts have also recently issued reports about the stock. Stifel Nicolaus upped their target price on shares of Lowe's Companies from $240.00 to $265.00 and gave the company a "hold" rating in a report on Monday. Piper Sandler upped their target price on shares of Lowe's Companies from $269.00 to $294.00 and gave the company an "overweight" rating in a report on Thursday. Truist Financial upped their target price on shares of Lowe's Companies from $264.00 to $283.00 and gave the company a "buy" rating in a report on Thursday. Citigroup reduced their target price on shares of Lowe's Companies from $253.00 to $242.00 and set a "neutral" rating for the company in a report on Thursday, July 31st. Finally, Mizuho reaffirmed an "outperform" rating and set a $280.00 target price on shares of Lowe's Companies in a report on Friday, June 13th. Sixteen equities research analysts have rated the stock with a Buy rating, nine have issued a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, Lowe's Companies has an average rating of "Moderate Buy" and a consensus price target of $284.33.

Lowe's Companies Trading Down 0.5%

Shares of LOW stock opened at $255.8520 on Friday. Lowe's Companies has a 12 month low of $206.38 and a 12 month high of $287.01. The stock has a market cap of $143.39 billion, a P/E ratio of 21.02, a P/E/G ratio of 2.43 and a beta of 0.89. The company has a 50 day simple moving average of $229.15 and a two-hundred day simple moving average of $230.35.

Lowe's Companies Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Wednesday, August 6th. Stockholders of record on Wednesday, July 23rd were issued a $1.20 dividend. This represents a $4.80 annualized dividend and a dividend yield of 1.9%. This is a boost from Lowe's Companies's previous quarterly dividend of $1.15. The ex-dividend date of this dividend was Wednesday, July 23rd. Lowe's Companies's payout ratio is presently 39.77%.

Insider Buying and Selling at Lowe's Companies

In other news, CEO Marvin R. Ellison sold 40,000 shares of the business's 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 transaction, the chief executive officer owned 249,043 shares of the company's stock, valued at approximately $65,772,256.30. The trade was a 13.84% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, EVP Juliette Williams Pryor sold 1,130 shares of the business'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 completion of the transaction, the executive vice president directly owned 31,898 shares in the company, valued at $7,256,795. This trade represents a 3.42% decrease in their position. The disclosure for this sale can be found here. 0.27% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Lowe's Companies

Several hedge funds have recently modified their holdings of LOW. Norges Bank bought a new stake in Lowe's Companies in the second quarter worth $1,773,624,000. Nuveen LLC bought a new stake in Lowe's Companies in the first quarter worth $681,215,000. Pacer Advisors Inc. increased its position in Lowe's Companies by 2,984.6% in the first quarter. Pacer Advisors Inc. now owns 2,038,069 shares of the home improvement retailer's stock worth $475,339,000 after purchasing an additional 1,971,996 shares during the last quarter. Kovitz Investment Group Partners LLC increased its position in Lowe's Companies by 350.2% in the fourth quarter. Kovitz Investment Group Partners LLC now owns 2,373,460 shares of the home improvement retailer's stock worth $585,770,000 after purchasing an additional 1,846,315 shares during the last quarter. Finally, GAMMA Investing LLC increased its position in Lowe's Companies by 26,796.0% in the first quarter. GAMMA Investing LLC now owns 1,657,332 shares of the home improvement retailer's stock worth $386,540,000 after purchasing an additional 1,651,170 shares during the last quarter. Hedge funds and other 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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.