In the latest close session, Lowe's (LOW) was down 3.44% at $208.73. The stock trailed the S&P 500, which registered a daily loss of 1.01%. Meanwhile, the Dow experienced a drop of 0.77%, and the technology-dominated Nasdaq saw a decrease of 1.4%.
Heading into today, shares of the home improvement retailer had lost 2.72% over the past month, lagging the Retail-Wholesale sector's gain of 0.78% and the S&P 500's gain of 0.32%.
Market participants will be closely following the financial results of Lowe's in its upcoming release. The company plans to announce its earnings on August 19, 2026. It is anticipated that the company will report an EPS of $4.26, marking a 1.62% fall compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $26.25 billion, up 9.54% from the year-ago period.
For the full year, the Zacks Consensus Estimates are projecting earnings of $12.48 per share and revenue of $93.09 billion, which would represent changes of +1.55% and +7.89%, respectively, from the prior year.
Investors should also pay attention to any latest changes in analyst estimates for Lowe's. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Right now, Lowe's possesses a Zacks Rank of #4 (Sell).
Valuation is also important, so investors should note that Lowe's has a Forward P/E ratio of 17.32 right now. This denotes a discount relative to the industry average Forward P/E of 23.18.
It's also important to note that LOW currently trades at a PEG ratio of 2.73. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Retail - Home Furnishings industry currently had an average PEG ratio of 1.95 as of yesterday's close.
The Retail - Home Furnishings industry is part of the Retail-Wholesale sector. With its current Zacks Industry Rank of 170, this industry ranks in the bottom 31% of all industries, numbering over 250.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
7 Best Stocks for the Next 30 Days
Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."
Since 1988, the full list has beaten the market more than 2X over with an average gain of +23.9% per year. So be sure to give these hand picked 7 your immediate attention.
See them now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Lowe's Companies, Inc. (LOW): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).