Lowe's Companies’s Neutral Rating Reaffirmed at Zacks (LOW)
Lowe's Companies (NYSE:LOW)‘s stock had its “neutral” rating restated by Zacks in a note issued to investors on Thursday. They currently have a $49.00 price objective on the stock. Zacks‘s price objective points to a potential upside of 7.57% from the stock’s previous close.
Zacks’ analyst wrote, “Weather disruptions in the initial part of the year took a heavy toll on Lowe’s first-quarter fiscal 2014 performance that came in lower-than-expected. However, it did manage to achieve year over year growth. Adding to the woes are the mixed recovery signals from the housing market. Also, we believe spending on big remodeling projects will likely remain under pressure until the housing market fully stabilizes and consumer-spending rebounds. However, Lowe’s efforts to expand in high-growth markets to improve sales and profitability are impressive. We also remain positive on the company’s strategic initiatives and expect its merchandising resets and focus on enhancing customer-shopping experience to help generate higher sales. We remain on the sidelines as these efforts might prove time consuming and therefore, reiterate our Neutral recommendation on the stock.”
Other equities research analysts have also recently issued reports about the stock. Analysts at Canaccord Genuity downgraded shares of Lowe's Companies from a “hold” rating to a “sell” rating in a research note on Wednesday, May 28th. They now have a $37.00 price target on the stock, down previously from $47.00. They noted that the move was a valuation call. Separately, analysts at Deutsche Bank reiterated a “buy” rating on shares of Lowe's Companies in a research note on Thursday, May 22nd. They now have a $54.00 price target on the stock, down previously from $57.00. Finally, analysts at Jefferies Group reiterated a “hold” rating on shares of Lowe's Companies in a research note on Thursday, May 22nd. They now have a $45.00 price target on the stock, down previously from $47.00. One analyst has rated the stock with a sell rating, six have assigned a hold rating and thirteen have issued a buy rating to the company. Lowe's Companies presently has a consensus rating of “Buy” and a consensus target price of $50.93.
Lowe's Companies (NYSE:LOW) traded down 2.90% during mid-day trading on Thursday, hitting $45.55. The stock had a trading volume of 11,319,012 shares. Lowe's Companies has a 52 week low of $38.87 and a 52 week high of $52.08. The stock has a 50-day moving average of $46.38 and a 200-day moving average of $47.58. The company has a market cap of $45.428 billion and a price-to-earnings ratio of 20.76. Lowe's Companies also saw unusually large options trading on Monday. Traders bought 10,834 put options on the company. This is an increase of approximately 252% compared to the average volume of 3,076 put options.
Lowe's Companies (NYSE:LOW) last posted its quarterly earnings results on Wednesday, May 21st. The company reported $0.61 earnings per share for the quarter, beating the analysts’ consensus estimate of $0.60 by $0.01. The company had revenue of $13.40 billion for the quarter, compared to the consensus estimate of $13.86 billion. During the same quarter last year, the company posted $0.49 earnings per share. Lowe's Companies’s revenue was up 2.4% compared to the same quarter last year. Analysts expect that Lowe's Companies will post $2.62 EPS for the current fiscal year.
The company also recently declared a quarterly dividend, which is scheduled for Wednesday, August 6th. Shareholders of record on Wednesday, July 23rd will be given a dividend of $0.23 per share. This represents a $0.92 dividend on an annualized basis and a yield of 2.02%. The ex-dividend date of this dividend is Monday, July 21st. This is a positive change from Lowe's Companies’s previous quarterly dividend of $0.18.
Lowe’s Companies, Inc (NYSE:LOW) is a home improvement retailer.
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