Lowe’s Companies (NYSE:LOW) Announces Quarterly Earnings Results, Beats Estimates By $0.04 EPS

Lowe’s Companies (NYSE:LOW) announced its earnings results on Wednesday. The home improvement retailer reported $1.98 EPS for the quarter, beating analysts’ consensus estimates of $1.94 by $0.04, FiscalAI reports. The company had revenue of $20.58 billion during the quarter, compared to analysts’ expectations of $20.34 billion. Lowe’s Companies had a negative return on equity of 55.86% and a net margin of 8.05%.Lowe’s Companies’s revenue for the quarter was up 10.9% on a year-over-year basis. During the same period last year, the business posted $1.93 EPS. 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 Performance

Shares of NYSE:LOW traded down $0.01 on Thursday, hitting $263.02. 248,847 shares of the company’s stock were exchanged, compared to its average volume of 2,861,188. Lowe’s Companies has a 1-year low of $206.38 and a 1-year high of $293.06. The company has a market capitalization of $147.54 billion, a PE ratio of 21.87, a P/E/G ratio of 4.34 and a beta of 0.97. The firm’s 50-day moving average is $266.08 and its 200 day moving average is $254.23.

Analysts Set New Price Targets

Several research analysts have recently commented on the stock. UBS Group lowered their price objective on shares of Lowe’s Companies from $325.00 to $316.00 and set a “buy” rating for the company in a research note on Thursday, November 20th. Mizuho decreased their price target on shares of Lowe’s Companies from $285.00 to $272.00 and set an “outperform” rating for the company in a research report on Thursday, November 20th. Guggenheim boosted their price target on shares of Lowe’s Companies from $280.00 to $300.00 and gave the stock a “buy” rating in a research note on Thursday. Wells Fargo & Company cut their price objective on Lowe’s Companies from $290.00 to $280.00 and set an “overweight” rating on the stock in a research report on Tuesday, November 11th. Finally, Royal Bank Of Canada lifted their target price on Lowe’s Companies from $252.00 to $257.00 and gave the company a “sector perform” rating in a report on Monday. Twenty-one equities research 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 MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus price target of $290.32.

Trending Headlines about Lowe’s Companies

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

• Positive Sentiment: Beat on Q4 results — Lowe’s reported adjusted EPS of $1.98 and revenue of $20.58bn, topping estimates and showing comps growth driven by pro and holiday demand. Lowe’s Reports Fourth Quarter 2025 Sales and Earnings Results
• Positive Sentiment: Pro, online and home‑services momentum plus new partnerships (including Affirm) should help diversify and stabilize revenue as DIY wanes. Is Affirm (AFRM) Using Lowe’s Partnership To Deepen Moat Or Merely Chase Volume?
• Positive Sentiment: Analyst support: Telsey Advisory raised its price target to $295 and keeps an outperform view, signaling some buy‑side conviction after the print. Benzinga: Telsey raises price target
• Neutral Sentiment: Management highlights AI tools (CEO says an AI assistant is easing operational headaches) — productivity upside but early stage for scale impact. Lowe’s CEO says its AI assistant is fixing some major headaches
• Negative Sentiment: Cautious FY2026 guidance — management warned homeowners are deferring big remodels, and issued conservative sales/profit outlook that disappointed investors and pressured the stock. Lowe’s forecasts downbeat annual sales as customers defer big-ticket home remodels
• Negative Sentiment: Restructuring and layoffs — Lowe’s announced ~600 corporate/support role cuts and is reshaping organization; cost saves but creates short‑term disruption and investor concern. Lowe’s CEO publicly addresses 600 layoffs for first time, then turns to AI, profits
• Negative Sentiment: Broader market reaction — housing‑related stocks slipped after downbeat comments from Lowe’s and Home Depot, amplifying selling pressure despite the beating results. US housing-related stocks drop after downbeat comments from Lowe’s, Home Depot

Insiders Place Their Bets

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

Institutional Inflows and Outflows

Several large investors have recently modified their holdings of LOW. Sumitomo Life Insurance Co. raised its stake in Lowe’s Companies by 0.6% during the 4th quarter. Sumitomo Life Insurance Co. now owns 6,140 shares of the home improvement retailer’s stock worth $1,481,000 after acquiring an additional 39 shares in the last quarter. Ausdal Financial Partners Inc. grew its holdings in shares of Lowe’s Companies by 1.2% during the fourth quarter. Ausdal Financial Partners Inc. now owns 3,430 shares of the home improvement retailer’s stock worth $827,000 after purchasing an additional 40 shares during the last quarter. Foresight Global Investors Inc. increased its position in shares of Lowe’s Companies by 3.9% during the fourth quarter. Foresight Global Investors Inc. now owns 1,192 shares of the home improvement retailer’s stock worth $287,000 after purchasing an additional 45 shares in the last quarter. Invenio Wealth Partners LLC lifted its holdings in shares of Lowe’s Companies by 3.7% in the 3rd quarter. Invenio Wealth Partners LLC now owns 1,277 shares of the home improvement retailer’s stock valued at $321,000 after purchasing an additional 46 shares during the last quarter. Finally, Paces Ferry Wealth Advisors LLC lifted its holdings in shares of Lowe’s Companies by 3.2% in the 3rd quarter. Paces Ferry Wealth Advisors LLC now owns 1,554 shares of the home improvement retailer’s stock valued at $390,000 after purchasing an additional 48 shares during the last quarter. Institutional investors and hedge funds own 74.06% of the company’s stock.

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.