Lowe’s Companies, Inc. (LOW) is gearing up to announce its second-quarter earnings before the market opens on Tuesday, August 20th. Analysts predict a decline in earnings, forecasting $3.97 per share compared to $4.56 per share in the same period last year. The company itself expects quarterly revenue to reach $23.91 billion, according to data from Benzinga Pro.
While earnings expectations indicate a potential slowdown, recent analyst ratings paint a more nuanced picture of the stock’s future prospects.
On August 14th, Telsey Advisory Group analyst Joseph Feldman maintained a Market Perform rating for Lowe’s, with a price target of $230. Feldman boasts an impressive accuracy rate of 70%. However, other analysts have taken a more optimistic stance. On August 5th, JP Morgan analyst Christopher Horvers maintained an Overweight rating and raised the price target from $268 to $272. Horvers possesses a 73% accuracy rate, suggesting confidence in the stock’s potential.
Contrasting these bullish views, some analysts have expressed caution. Evercore ISI Group analyst Greg Melich maintained an In-Line rating on July 2nd, while lowering the price target from $250 to $225. Melich’s accuracy rate of 75% underscores a cautious outlook. Similarly, DA Davidson analyst Michael Baker maintained a Neutral rating and slashed the price target from $270 to $240 on May 22nd. Baker has an accuracy rate of 80%.
Despite the mixed signals, Truist Securities analyst Scot Ciccarelli maintained a Buy rating for Lowe’s on May 22nd, though he reduced the price target from $271 to $265. Ciccarelli’s accuracy rate of 71% suggests a degree of optimism about the company’s future.
The diversity of analyst opinions highlights the complexities surrounding Lowe’s stock. Investors should carefully weigh these insights alongside their own research and risk tolerance before making investment decisions.
