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LOW

S&P 500
Neutral · 50/100

Lowe's

Consumer Discretionary
Home Improvement Retail

$214.40

3.5%

Updated Today 6:01 PM ET

Price — Past Year

▲ Up 5.4% over the last 12 months

Price 50-day average 200-day averageSource: Yahoo Finance · refreshed daily
Key Metrics

Market Cap

$124.59B

P/E

18.75x

Forward P/E (est.)

19.12x

ROE

264.5%

Revenue Growth

6.2%

EPS Growth

-1.9%

Profit Margin

7.5%

FCF Yield

7.2%

Debt / Equity

15.16x

ROIC

26.0%

Interest Coverage

30.58x

Current Ratio

1.09x

Dividend Yield

2.3%

Implied Growth (rev. DCF)

2.7%

Rating Score

50/100

Technical Analysis (Educational)
Research

Technical analysis reads price and volume to judge momentum and timing. It complements the fundamentals above — it does not replace them. Here is what LOW's chart says today, with each tool explained.

Trend — moving averages. A moving average is the average closing price over a window, which smooths out daily noise. LOW trades near $214.40, below its 50-day average ($227.80) and 200-day average ($245.73). Price below both averages is a downtrend — momentum is against buyers for now.

Momentum — RSI. The Relative Strength Index runs 0–100 and measures how strong recent gains are versus losses. Above 70 is "overbought", below 30 "oversold". At 49 it is in neutral territory — neither stretched nor washed out.

MACD. MACD compares two moving averages to flag shifts in momentum. Its histogram is currently positive — short-term momentum is improving.

Volatility — ATR. Average True Range is the typical daily move. LOW's is $5.79 (~2.7% of price), so swings of about that size each day are normal — handy for setting a stop that isn't too tight.

Support & resistance. Over the last month LOW found buyers near $203.40 (support) and sellers near $227.32 (resistance); its 52-week range is $203.40–$293.06. A decisive break beyond either edge often marks the next move.

Volume. The latest session traded 1.2× the 20-day average — about normal. Rising volume on up-days suggests real buying; on down-days, real selling.

Educational information to help you read a chart — not a recommendation or a forecast. It updates daily as the price and indicators change.

Business Overview
Research

Lowe's (LOW) is a large-cap company in the Home Improvement Retail industry, part of the Consumer Discretionary sector of the S&P 500, with a market value around $124.59B.

In its latest reported year it generated about $86.29B in revenue and $6.65B in net profit.

Our model rates LOW Neutral (50/100) on growth, profitability, financial health, and valuation. The summary below is built from its filed financials and current ratios and refreshes automatically.

Revenue Growth
Research

4Y CAGR

-2.7%

Revenue moved from $96.25B in 2022 to $86.29B in 2026, a -2.7% compound annual growth rate. The most recent year grew a steady 6.2% year over year. Slower, mature growth is common for established businesses.

Profitability
Research

Gross Margin

33.5%

Operating Margin

11.8%

Net Margin

7.7%

ROE

264.5%

Lowe's keeps about 7.5% of each sales dollar as net profit, with a 33.5% gross margin and 11.8% operating margin. Return on equity is 264.5% and return on invested capital about 26.0%. Margins are moderate — typical of a competitive but profitable business.

Debt Analysis
Research

Total Debt

$39.82B

Net Debt

$39.03B

Net Debt / EBITDA

3.84x

Debt / Equity

15.16x

Leverage: debt-to-equity is 15.2x, and operating profit covers interest about 30.6x, with a current ratio of 1.1x. That is elevated leverage, which raises risk if earnings or rates move against it. It carries roughly $39.82B of total debt against $786.00M of cash.

Cash Flow Analysis
Research

Operating CF

$9.86B

Free Cash Flow

$7.65B

FCF Margin

8.9%

In the latest year Lowe's produced about $9.86B of operating cash flow and $7.65B of free cash flow after capital spending. That is a free-cash-flow yield of about 7.2% on today's price. Strong cash generation funds dividends, buybacks, and reinvestment.

Valuation Analysis
Research

P/E

18.75x

P/S

1.46x

P/B

84.39x

EV / EBITDA

13.33x

LOW trades at 18.7x trailing earnings (about 19.1x on estimated forward earnings), 1.5x sales, and 84.4x book value. Reverse-engineering today's price implies the market expects roughly 2.7% long-term free-cash-flow growth. That is a fairly typical valuation for a profitable company.

Metrics vs. Typical Range

Where this stock sits versus what most companies trade at.

TTM P/E
18.7xFair
Forward P/E
19.1xFair
P/S ratio
1.5xCheap
Revenue growth
6.2%Average
EPS growth
-1.9%Weak
Gross margin
33.5%Weak
Net margin
7.5%Weak
ROE
264.5%Strong

Typical ranges are general references (e.g., many stocks trade at ~18–26x earnings), not hard rules. Context only — not investment advice.

Sector Peer Comparison

How LOW stacks up against its Consumer Discretionary peers — valuation, profitability, and growth versus the sector median.

In the Consumer Discretionary sector (48 S&P 500 companies), LOW ranks #29 of 48 by our overall rating. It trades at a discount versus the sector on earnings (18.7x P/E vs. 23.7x median) with a higher return on equity (264.5% vs. 39.2%) and faster revenue growth (6.2% vs. 6.2%).

P/E vs sector

18.7x

median 23.7x

ROE vs sector

264.5%

median 39.2%

Growth vs sector

6.2%

median 6.2%

Sector rank

#29

of 48 by rating

CompanyP/ERev Gr.Rating
LOWThis stock18.7x6.2%Neutral· 50
HD23.7x2.2%Neutral· 45
BKNG21.6x14.9%Favorable· 68
SBUX76x5.8%Weak· 29
MAR40.3x4.7%Weak· 38
ABNB33.6x12.6%Favorable· 66
TJX31.3x8.1%Favorable· 58
RCL18.8x9.8%Favorable· 66
Consumer Discretionary median23.7x6.2%54/100

Valuation vs. quality map

sector medianHDBKNGSBUXMARABNBTJXRCLLOWP/E — cheaper ←→ pricierROE — more profitable ↑

The sweet spot is upper-left: more profitable (higher ROE) for a lower P/E. Dashed lines mark the sector median.

Compare side by side

Peers are the closest Consumer Discretionary companies by sub-industry and size. Sector median is across all 48 S&P 500 names in the sector. Educational, not a recommendation.

5-Year Projection Model

Project revenue → earnings → price. Edit the assumptions to build your own case.

2030 price target (Base Case)

$181.22$313.02

vs. $214.40 today · expected CAGR -3%8%

Metric20262027202820292030
Revenue$91.46B$96.95B$102.77B$108.93B$115.47B
Net income$7.32B$7.76B$8.22B$8.71B$9.24B
EPS$13.05$13.83$14.66$15.54$16.47
Share price (low)$143.55$152.16$161.29$170.97$181.22
Share price (high)$247.94$262.82$278.59$295.31$313.02
CAGR (low–high)-33% / 16%-16% / 11%-9% / 9%-6% / 8%-3% / 8%

Educational model on sample fundamentals — not a forecast or investment advice. Outputs are only as good as your assumptions.

Bull Case

The case for LOW:

  • Strong return on equity (264.5%) shows capital is put to work well.
  • Healthy free-cash-flow yield (~7.2%) funds buybacks and dividends.
  • Pays a 2.3% dividend on top of any price gains.
Bear Case

The case against LOW:

  • Elevated leverage (debt/equity 15.2x) adds financial risk.
  • Like any single stock, it is exposed to competition, the economic cycle, and shifts in its end markets.
Key Risks
Research

Balance-sheet risk — debt/equity of 15.2x magnifies the impact of higher rates or weaker earnings.

Market risk — sector rotation, the economic cycle, and broad sentiment move the stock regardless of fundamentals.

Investment Thesis
Research

On balance, the picture is mixed: Lowe's is a large-cap consumer discretionary business growing at a mature pace, with modest profitability, and a heavier debt load to watch. It trades at 18.7x earnings, which our model scores Neutral (50/100). Weigh this against your own goals and time horizon — this is educational information, not a recommendation.

Data notice. Fundamentals and financial statements are sourced from company filings (SEC EDGAR) and market-data providers; prices and market caps refresh on trading days and may be delayed. Ratings, projections, technical signals, and written summaries are model- or rule-generated for education and may simplify or lag the latest filings.

Not advice. Nothing on this page is investment advice or a recommendation to buy, hold, or sell any security. Do your own research and consult a licensed financial professional before investing.