Stock Story -
Home improvement retailer Lowe’s (NYSE:LOW) will be reporting results tomorrow before the bell. Here's what you need to know.
Lowe's met analysts' revenue expectations last quarter, reporting revenues of $18.6 billion, down 17.1% year on year. It was a slower quarter for the company, with full-year revenue guidance missing analysts' expectations.
Is Lowe's a buy or sell going into earnings? Find out by reading the original article on StockStory, it's free.
This quarter, analysts are expecting Lowe's revenue to decline 5.6% year on year to $21.1 billion, in line with the 5.5% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $2.96 per share.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Lowe's has missed Wall Street's revenue estimates five times over the last two years.
Looking at Lowe's peers in the home furnishing and improvement retail segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Floor And Decor's revenues decreased 2.2% year on year, missing analysts' expectations by 1.5%, and Home Depot (NYSE:HD) reported a revenue decline of 2.3%, in line with consensus estimates. Floor And Decor's stock price was unchanged after the results, while Home Depot was up 2.3%.
Read the full analysis of Floor And Decor's and Home Depot's results on StockStory.
There has been positive sentiment among investors in the home furnishing and improvement retail segment, with share prices up 8.2% on average over the last month. Lowe's stock price was unchanged during the same time and is heading into earnings with an average analyst price target of $251.7 (compared to the current share price of $231.45).
