Lowe’s Companies Inc. (NYSE:LOW) finished Thursday with a subtraction of -$0.5 to close at $222.47, a downside of -0.22 percent. An average of 2,335,830 shares of common stock have been traded in the last five days. There was a gain of $3.51 in the past week, and it reached a new high 12 times over the past 12 months. The last 20 days have seen an average of 2,217,397 shares traded, while the 50-day average volume stands at 2,487,093.
LOW stock has decreased by -5.29% in the last month. The company shares reached their 1-month lowest point of $216.25 on 08/21/23. With the stock rallying to its 52-week high on 07/27/23, shares of the company touched a low of $176.50 and a high of $237.21 in 52 weeks. It has reached a new high 18 times so far this year and achieved 11.66% or $23.62 in price. In spite of this, the price is down -6.21% from the 52-week high.
Insider Transactions
LOW stock investors should be aware that Lowe’s Companies Inc. (LOW) stock had its last reported insider trading activity 91 days ago on May 26. In this transaction, the insider spent $2,668,016. EVP, Merchandising, Boltz William P, disposed of 36,341 shares at a price of $203.00 on May 25. The insider now owns more than $7,377,223 worth of shares. Prior to that, EVP, Chief Information Officer Godbole Seemantini went on to Sale 17,634 shares at $202.05 each on May 25. An amount of $3,563,006 was transacted.
Valuation Metrics
Lowe’s Companies Inc. (LOW) has a trailing price-to-earnings (P/E) ratio of 21.65. The stock’s beta is 1.08. Other valuation ratios to consider include the trailing price-to-sales (P/S) ratio at 1.35, and the price-to-cash flow ratio at 22.16.
Financial Health
The quick ratio of Lowe’s Companies Inc. for the three months ended July 30 was 0.20, and the current ratio was 1.20, indicating that the company is not able to meet its debt obligations. Lowe’s Companies Inc.’s EBITDA margin for the year ending July 30 is 15.63%, while its operating margin for the same period stands at 10.60%. Its gross profit as reported stood at $32.26 billion compared to revenue of $97.06 billion.
For investors, determining the potential profitability of the investment also depends on the performance of the company’s management. In the past 12 months, Lowe’s Companies Inc.’s return on assets was 13.80%.
Earnings Surprise
For the three-month period that ended July 30, Lowe’s Companies Inc. had $35.86 billion in total debt. In the quarter under review, the net income was down than the previous quarter. The company posted a net income of $2.26 billion in the quarter, while revenues were shrunk -3.23%. The analyst consensus anticipated Lowe’s Companies Inc.’s latest quarter earnings to come in at $4.49 per share, but it turned out to be $4.56, a 1.60% surprise. For the quarter, EBITDA amounted to $3.75 billion. Shareholders own equity worth $585.98 million.
Technical Picture
From a technical analysis perspective, let’s take a brief look at Lowe’s Companies Inc. (LOW) price momentum. RSI 9-day as of the close on 24 August was 47.68%, suggesting the stock is Neutral, with historical volatility in this time frame at 29.31%.
As of today, LOW’s price is $223.27 +1.60% or $3.51 from its 5-day moving average. LOW is currently trading -5.20% lower than its 20-day SMA and +9.25% higher than its 100-day SMA. However, the stock’s current price level is +3.72% above the SMA50 and +19.46% above the SMA200.
The stochastic %K and %D were 67.43% and 67.20%, respectively, and the average true range (ATR) was 4.48. With the 14-day stochastic at 52.09% and the average true range at 4.24, the RSI (14) stands at 47.78%. The stock has reached 2.14 on the 9-day MACD Oscillator while the 14-day reading was at 2.14.
Analyst Ratings
Telsey Advisory Group reiterated its a Market perform rating on Lowe’s Companies Inc. (NYSE: LOW), but raised their price target to $225, indicating a potential price increase of 1.12% for the stock. The consensus rating for Lowe’s Companies Inc. (LOW) among analysts is Overweight. According to current brokerage recommendations, 1 brokerage firm advise that investors sell LOW, while 15 suggest investors hold. There are 0 analysts who rate the stock as underweight. The stock is rated overweight by 2 analysts, while 16 others rate it as a “buy”.
What is LOW’s price target for the next 12 months?
Analysts predict a range of price targets between $180.00 and $290.00, with a median target of $250.00. Taking a look at these predictions, the average price target given by analysts for Lowe’s Companies Inc. (LOW) stock is $247.54.
