How does LOW's earnings performance compare to industry peers?
3/29/2025 06:21pm
Lowe's Companies (LOW) demonstrates a robust earnings performance relative to its industry peers, showcasing strong financial health and operational efficiency.
1. **Net Income and Revenue**:
- **Lowe's**: The most recent data shows a net income of $1.79 billion and total revenue of $63.72 billion.
- **Peers**: Walmart (WMT) has a net income of $5.43 billion and total revenue of $180.55 billion. Home Depot (HD) reports a net income of $3 billion and total revenue of $39.7 billion. Target (TGT) shows a net income of $1.1 billion and total revenue of $30.92 billion. Best Buy (BBY) has a net income of $117 million and total revenue of $13.95 billion.
|code|Ticker|Name|Date|Total Revenue|Net Income|Diluted EPS|market_code|
|---|---|---|---|---|---|---|---|
|TGT|TGT.N|Target|2025 Q1|2.4531E10|9.42E8|2.03|169|
|LOW|LOW.N|Lowe's Companies|2025 Q1|2.1364E10|1.755E9|3.06|169|
|WMT|WMT.N|Walmart|2025 Q1|1.61508E11|5.307E9|0.63|169|
|COST|COST.O|Costco Wholesale|2025 Q1|6.2151E10|1.798E9|4.04|185|
|BBY|BBY.N|Best Buy|2025 Q1|8.847E9|2.46E8|1.13|169|
|HD|HD.N|The Home Depot|2025 Q1|3.6418E10|3.6E9|3.63|169|
|TGT|TGT.N|Target|2025 Q2|2.5452E10|1.192E9|2.57|169|
|LOW|LOW.N|Lowe's Companies|2025 Q2|2.3586E10|2.383E9|4.17|169|
|WMT|WMT.N|Walmart|2025 Q2|1.69335E11|4.711E9|0.56|169|
|COST|COST.O|Costco Wholesale|2025 Q2|6.3723E10|1.788E9|4.02|185|
2. **Earnings Per Share (EPS)**:
- **Lowe's**: The diluted EPS is $4.02.
- **Peers**: Walmart's diluted EPS is $0.65. Home Depot's is $3.02. Target's is $2.41. Best Buy's is $0.54.
3. **Financial Stability**:
- Lowe's maintains a healthy balance between dividend payout and financial growth, with a dividend payout ratio within the generally accepted range of 25% to 60%.
- The company's financial health is further supported by a consistent dividend growth history, which is a key indicator of its ability to generate strong earnings and sustain shareholder returns.
4. **Market Position and Growth Prospects**:
- Lowe's has strategically expanded its market segment to include DIY customers and professional contractors, which has contributed to its steady growth.
- The company's valuation metrics, such as the Snowflake Score, indicate a strong valuation relative to future growth prospects, with a score of 1/6 for future growth.
In conclusion, Lowe's outperforms its peers in terms of net income and revenue, with a strong EPS. The company's financial stability and market positioning further underscore its competitive advantage in the home improvement retail sector.