Lowe’s Companies (NYSE:LOW) Announces Quarterly Earnings Results

Lowe’s Companies (NYSE:LOW) posted its quarterly earnings data on Wednesday. The home improvement retailer reported $1.98 EPS for the quarter, topping analysts’ consensus estimates of $1.94 by $0.04, FiscalAI reports. Lowe’s Companies had a negative return on equity of 55.86% and a net margin of 8.05%.The company had revenue of $20.58 billion for the quarter, compared to analyst estimates of $20.34 billion. During the same period in the previous year, the firm earned $1.93 earnings per share. The firm’s quarterly revenue was up 10.9% on a year-over-year basis. Lowe’s Companies updated its FY 2026 guidance to 12.250-12.75 EPS.

Here are the key takeaways from Lowe’s Companies’ conference call:

• FY2025 results — sales of $86.3B (Q4 $20.6B), Q4 comps +1.3% and adjusted EPS of $12.28, up 2% year-over-year, reflecting margin resilience despite a tough macro.
• 2026 guidance is cautious and shows margin pressure — Lowe’s expects $92B–$94B in sales, comps flat to +2% and adjusted EPS ~$12.25–$12.75, but warned of ~30 bps dilution from FBM/ADG in 2026 (50 bps annualized) and a ~75 bp gross-margin headwind.
• Strategic growth areas gaining traction — Online grew 10.5% with holiday records, Home Services posted high-single-digit growth, and Pro momentum (expanded DEWALT assortment, Pro Extended Aisle, AI Pro Companion) is driving share and planned spend.
• Productivity and cost actions — management targets roughly $1B of PPI productivity in 2026, completed SKU rationalization and AI-enabled tools, and announced ~600 corporate role reductions while awarding $125M in discretionary frontline bonuses.

Lowe’s Companies Stock Down 5.1%

NYSE:LOW traded down $14.34 during midday trading on Wednesday, hitting $264.26. The company had a trading volume of 2,226,687 shares, compared to its average volume of 2,841,199. The company has a market capitalization of $148.23 billion, a PE ratio of 22.00, a P/E/G ratio of 4.28 and a beta of 0.97. Lowe’s Companies has a 52-week low of $206.38 and a 52-week high of $293.06. The stock’s fifty day moving average price is $265.77 and its 200-day moving average price is $254.17.

Insider Transactions at Lowe’s Companies

In other Lowe’s Companies news, CEO Marvin R. Ellison sold 18,000 shares of Lowe’s Companies stock in a transaction dated Friday, January 9th. The stock was sold at an average price of $261.17, for a total transaction of $4,701,060.00. Following the completion of the sale, the chief executive officer owned 231,043 shares of the company’s stock, valued at $60,341,500.31. The trade was a 7.23% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. 0.27% of the stock is currently owned by company insiders.

Institutional Trading of Lowe’s Companies

A number of hedge funds have recently bought and sold shares of LOW. Brighton Jones LLC lifted its stake in Lowe’s Companies by 119.7% in the fourth quarter. Brighton Jones LLC now owns 31,965 shares of the home improvement retailer’s stock worth $7,889,000 after purchasing an additional 17,413 shares during the last quarter. Revolve Wealth Partners LLC grew its stake in shares of Lowe’s Companies by 31.6% during the fourth quarter. Revolve Wealth Partners LLC now owns 1,078 shares of the home improvement retailer’s stock valued at $266,000 after buying an additional 259 shares during the last quarter. Sivia Capital Partners LLC increased its holdings in shares of Lowe’s Companies by 22.3% in the second quarter. Sivia Capital Partners LLC now owns 1,534 shares of the home improvement retailer’s stock worth $340,000 after buying an additional 280 shares during the period. United Bank lifted its stake in shares of Lowe’s Companies by 1.3% in the 2nd quarter. United Bank now owns 12,124 shares of the home improvement retailer’s stock valued at $2,690,000 after acquiring an additional 155 shares during the last quarter. Finally, Schnieders Capital Management LLC. boosted its holdings in Lowe’s Companies by 13.1% during the 2nd quarter. Schnieders Capital Management LLC. now owns 2,378 shares of the home improvement retailer’s stock valued at $528,000 after acquiring an additional 275 shares during the period. Institutional investors own 74.06% of the company’s stock.

Analyst Ratings Changes

LOW has been the topic of several research analyst reports. The Goldman Sachs Group increased their target price on shares of Lowe’s Companies from $280.00 to $283.00 and gave the stock a “buy” rating in a research note on Friday, February 13th. Weiss Ratings reiterated a “hold (c+)” rating on shares of Lowe’s Companies in a report on Monday, December 29th. Jefferies Financial Group lifted their target price on shares of Lowe’s Companies from $280.00 to $285.00 and gave the stock a “buy” rating in a research report on Friday, December 19th. UBS Group reduced their price target on shares of Lowe’s Companies from $325.00 to $316.00 and set a “buy” rating for the company in a research report on Thursday, November 20th. Finally, Wells Fargo & Company lowered their target price on Lowe’s Companies from $290.00 to $280.00 and set an “overweight” rating on the stock in a research note on Tuesday, November 11th. Twenty analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, Lowe’s Companies presently has an average rating of “Moderate Buy” and an average target price of $289.59.

Lowe’s Companies News Summary

Here are the key news stories impacting Lowe’s Companies this week:

• Positive Sentiment: Q4 beat — Lowe’s reported adjusted EPS of $1.98 vs. the $1.94 consensus and revenue of $20.58B (above estimates); comparable sales rose ~1.3% and revenue was up ~10% YoY, driven by pro-builder demand. MarketBeat Earnings & Press Release
• Positive Sentiment: Pro/customer mix strength — multiple reports note that professional (Pro) customers and holiday demand lifted comps, supporting revenue resilience despite a weak housing backdrop. Zacks: Q4 Beat on Pro Strength
• Positive Sentiment: Restructuring & payments partnership — Lowe’s is cutting ~600 corporate/support roles and shifting resources to stores/Pro and digital, and announced a national partnership with Affirm to offer flexible payments — moves that may improve long-term margins and sales conversion. Yahoo Finance: Corporate Reset & Payments
• Neutral Sentiment: FY2026 guidance — management provided EPS guidance of $12.25–$12.75 and revenue guidance in the $92–$94B range; consensus estimates differ across sources, so investors are parsing whether guidance is conservative or aggressive relative to street expectations. Proactive: Beats Q4 but Soft Guidance
• Negative Sentiment: Cautious tone and category uncertainty — management warned of “ongoing uncertainty” in the home-improvement category and cited consumers deferring big-ticket remodels; that cautious outlook pressured the stock despite the beat. Reuters: Downbeat Sales Comment
• Negative Sentiment: One-time charges and profit dynamics — reported net/diluted EPS were down year-over-year on one-time items; investors may be focused on margin pressure and return-on-equity metrics. PR Newswire: Q4 Results & One-Time Items
• Negative Sentiment: Options activity signals hedging/speculation — unusually high put option buying (≈10,162 puts, ~38% above typical daily volume) suggests traders are positioning for further near-term downside or volatility. Benzinga: Cautious Outlook & Options Flow

Lowe’s Companies Company Profile

Lowe’s Companies, Inc is a leading home improvement retailer that operates large-format stores and digital channels serving both do-it-yourself homeowners and professional contractors. The company offers a broad assortment of products including building materials, lumber, appliances, tools and hardware, plumbing and electrical supplies, paint, flooring, kitchen and bath fixtures, outdoor and garden products, and home decor. Lowe’s also provides a range of services such as installation, home improvement financing, tool and equipment rental, and contractor-focused sales programs.

Operations are centered on a nationwide brick-and-mortar store network supported by distribution centers and an e-commerce platform that enables online ordering, delivery and in-store pickup.