Core Insights - The company reported an adjusted earnings per share of $3.06 for the third quarter, exceeding the forecast of $3.00 [1] - Same-store sales growth for the third quarter was 0.4%, below the expected growth of 1.02% [1] - The company anticipates an adjusted earnings per share of approximately $12.25 for the full year, slightly lower than the market estimate of $12.40 [1] - Capital expenditures for the year are expected to be no more than $2.5 billion, consistent with previous estimates of around $2.5 billion [1]

Lowe's Cos missed Wall Street estimates for third-quarter comparable sales on Wednesday, as customers remained wary of spending on big-ticket home remodels amid economic uncertainty and elevated borro... ...

Core Insights - Lowe's Companies, Inc. reported net earnings of $1.6 billion and diluted EPS of $2.88 for Q3 2025, a decrease from $2.99 in Q3 2024. Adjusted diluted EPS increased by 5.9% to $3.06 when excluding $129 million in pre-tax expenses related to acquisitions [1][19][20] Financial Performance - Total sales for the quarter reached $20.8 billion, up from $20.2 billion in the same quarter last year. Comparable sales increased by 0.4%, driven by an 11.4% growth in online sales and double-digit growth in home services and Pro sales [2][3] - Gross margin for the quarter was 34.19%, compared to 33.69% in the prior year, indicating improved profitability [13] - Operating income was $2.481 billion, representing 11.92% of sales, down from 12.57% in Q3 2024 [13] Capital Allocation - The company invested $8.8 billion in the acquisition of Foundation Building Materials and paid $673 million in dividends during the quarter [4][19] - Lowe's updated its full-year 2025 outlook, projecting total sales of $86.0 billion, adjusted operating margin of 12.1%, and adjusted diluted EPS of approximately $12.25 [5][9] Business Outlook - The company anticipates ongoing uncertainty in the macroeconomic environment, which has influenced its updated outlook for 2025 [5][9] - Lowe's continues to focus on enhancing its offerings to Pro customers following the recent acquisitions, aiming for sustainable long-term sales and profit growth [3][5] Operational Metrics - As of October 31, 2025, Lowe's operated 1,756 stores, covering 195.8 million square feet of retail space [3] - The company serves approximately 16 million customer transactions weekly, with total fiscal year 2024 sales exceeding $83 billion [7]

Lowe’s Companies, Inc. (NYSE:LOW) will release earnings results for the third quarter, before the opening bell on Wednesday.Analysts expect the Mooresville, North Carolina-based company to report quarterly earnings at $2.95 per share, up from $2.89 per share in the year-ago period. The consensus estimate for Lowe’s quarterly revenue is $20.84 billion, compared to $20.17 billion a year earlier, according to data from Benzinga Pro.On Nov. 14, the company's board declared a quarterly cash dividend of $1.20 per ...

Core Insights - Home Depot's disappointing results indicate that the anticipated recovery in home improvement spending has not occurred in the third quarter [1] - This lack of improvement is expected to negatively impact Lowe's performance as well [1] Company Analysis - Home Depot's results reflect a broader trend in the home improvement sector, suggesting that consumer spending in this area remains weak [1] - The failure of a rebound in spending could lead to further challenges for companies like Lowe's, which may face similar pressures in their upcoming financial results [1]

Core Insights - Home Depot's CEO Edward Decker indicated that contractors are adding fewer projects to their pipelines, and clients are opting for less expensive materials, suggesting a potential fatigue among affluent consumers [2][8] - The company reported a decline in earnings and sales growth for the fiscal third quarter, leading to lowered earnings expectations for the fiscal year due to various economic pressures [5][6] Economic Context - The home improvement sector has become increasingly reliant on affluent consumers, whose spending has been supported by the stock market; however, a market correction or job losses could disrupt this trend [4] - Home Depot noted that high interest rates and elevated home prices have deterred consumers from moving and undertaking home improvement projects, with housing turnover at a potential 40-year low [6][9] Financial Performance - Home Depot's comparable store sales in the U.S. increased by 0.1% year-over-year, with modest price increases contributing to higher average spending [9] - The number of transactions over $1,000 rose by 2.3% year-over-year, indicating that the increase is primarily due to contractors rather than consumers taking on larger projects [10]

Core Viewpoint - Lowe's Companies, Inc. is a leading home improvement retailer in the U.S., set to release quarterly earnings with an estimated EPS of $2.97 and projected revenue of $20.84 billion on November 19, 2025 [1][6] Financial Performance - Analysts project Lowe's revenues at $20.9 billion for the upcoming quarter, reflecting a 3.4% increase from the previous year, with an EPS estimate of $2.98, indicating a 3.1% rise year-over-year [4] - The company has historically delivered an average earnings surprise of 2.9% over the past four quarters, consistently exceeding market expectations [5][6] Business Strategy - Lowe's is focusing on pro-focused growth and technological investments, which are expected to positively impact its performance [4][6] - The company has a strong capital structure, with a debt-to-equity ratio of approximately -3.43, indicating effective debt management [2] Market Position - Despite strong fundamentals, Lowe's faces limited potential for price appreciation, with a P/E ratio of around 18.34 and a price-to-sales ratio of about 1.51, suggesting it may be fully valued [3] - The company benefits from robust liquidity and a strategic geographic presence, aiding in navigating market challenges [2]

分组1: Home Depot Earnings - Home Depot reported weaker than expected third quarter earnings, leading to a decline in its stock by approximately 3.5% [1][3] - The CEO attributed the poor performance to consumer uncertainty and ongoing pressure in the housing market, which negatively impacted home improvement demand [1] - Home Depot's same-store sales growth was only 0.2%, missing analysts' expectations of 1.3% [7] 分组2: Impact on Competitors - Lowe's shares also experienced a decline of about 1% following Home Depot's report, indicating a potential sympathy move in the market [3][5] - Analysts expect Lowe's revenue to grow by 3.3% year-on-year to approximately $20.81 billion, a reversal from a 1.5% decrease in the same quarter last year [6] - Lowe's has missed revenue estimates four times in the last two years, raising concerns about its upcoming earnings report [9] 分组3: Market Sentiment - The overall market sentiment appears cautious, with analysts suggesting that consumer spending on home improvement may be slowing down [5][9] - The broader market, including the S&P 500, is experiencing downward pressure, with a noted decline of about 1.2% in the session [15]

Group 1 - Home Depot and Lowe's are expected to report slight sales growth in their upcoming quarterly earnings, providing insight into market conditions and consumer spending on home improvement and DIY projects [1] - The companies face higher raw material costs due to tariffs imposed by the Trump administration, but a temporary pause on tariffs for Chinese goods may offer short-term relief [1] - The actual tariff rate borne by American consumers has surged to 17.9%, the highest level since 1934, adding pressure to household budgets [1] Group 2 - Analysts predict Home Depot's same-store sales will grow by 1.5% in the third quarter, compared to a decline of 1.3% in the same period last year [3] - Lowe's is expected to see a 1% increase in same-store sales, up from a 1.1% decline in the previous year [4] - The stock prices of Lowe's and Home Depot have dropped approximately 16% and over 11% respectively in the past 12 months, while the S&P 500 index has risen by 15% [3] Group 3 - Demand for home improvement is anticipated to be led by professional customers, while DIY customers are expected to engage in smaller projects [6] - Home Depot and Lowe's are increasing their focus on professional contractors and builders to offset weak DIY demand during a sluggish real estate market [6] - Lowe's has made significant acquisitions, including a $1.33 billion purchase of Artisan Design and an almost $8.8 billion acquisition of Foundation Building Materials, while Home Depot announced a $4.3 billion acquisition of GMS [6]

Group 1 - Stubborn inflation and skyrocketing home prices are creating uncertainty in the residential property market, impacting consumer discretionary spending [1] - The challenges in the residential property market are affecting the sales of household durable goods and home improvement products and services [1] Group 2 - The analyst has been involved in stock investing and macroeconomic analysis for nearly a decade, focusing on ASEAN and NYSE/NASDAQ stocks, particularly in banks, telecommunications, logistics, and hotels [1] - The analyst has diversified investments across different industries and market cap sizes, including holdings in US banks, hotels, shipping, and logistics companies [1]