|Bid||97.93 x 800|
|Ask||97.97 x 1200|
|Day's Range||97.82 - 102.50|
|52 Week Range||84.75 - 118.23|
|Beta (3Y Monthly)||1.42|
|PE Ratio (TTM)||34.46|
|Earnings Date||Aug 21, 2019|
|Forward Dividend & Yield||1.92 (1.70%)|
|1y Target Est||117.59|
Despite the fact that home sales saw a slight drop in April, the CEO of Warburg Realty, Frederick Peters, still believes homes are 'an investment in the future.' He stops Yahoo Finance to discuss that, as well as the impact the 2008 recession left on millennial homebuyers, "...coming out of the recession, optimism never really came back. At the first sign of uncertainty, people just back off, they go to the sidelines... there's no question there is an oversupply problem."
While Home Depot stock is down about 1.5% to $188.50, Lowe's stock is getting slammed, off more than 11%. When Home Depot reported its quarterly results, the company beat on earnings and revenue expectations, reported 2.5% global comparable-store growth and reaffirmed its full-year outlook. While Lowe's beat on revenue expectations, the company missed on earnings estimates.
“We view the quarter’s gross margin miss as a classic early turnaround stumble,” Loop Capital Markets analyst Laura Champine wrote. Lowe’s posted its first-quarter results before the market opened Wednesday. Champine said she expects the company’s margin issues to be short term and kept a hold rating with a $102 price target.
U.S. stocks dipped on Wednesday, as reports that Washington could impose restrictions on another Chinese technology company fanned trade tensions, while investors awaited the release of minutes from the Federal Reserve's latest policy meeting. Media reports on Wednesday said the Trump administration was considering sanctions on video surveillance firm Hikvision, the second major Chinese technology company facing U.S. curbs. Also weighing on the markets was Qualcomm Inc's 12.1% plunge, the biggest decliner on the S&P 500.
Shares of Lowe's tumbled 10% at the opening bell Wednesday after the home improvement retailer cut its outlook for the year after a weak first quarter. Lowe's recently acquired an analytics platform it says will modernize its pricing process and improve margins. Lowe's is trying to close the gap with rival Home Depot, which reported better than expected profits and sales numbers Monday.
Lowe’s Stock Fell after Weak Q1 Earnings(Continued from Prior Part)Stock performanceOn May 22, Lowe’s (LOW) reported lower-than-expected first-quarter earnings. The company’s management lowered its diluted EPS guidance for 2019 due to
What happened, according to Ellison, is this: Essentially, Lowe’s merchandising executives were accepting price increases from vendors on certain items without taking any offsetting action to raise retail prices. None of that ever happened, though, because Lowe’s outdated systems and tools meant that his leaders, many of whom were new to their roles, did not “have a clear line of sight” about the cost increases, Ellison said.
Since taking the helm in July, Chief Executive Officer Marvin Ellison has replaced nearly the entire merchandising team to get more in-demand products on shelves as the company tries to close the gap with larger rival Home Depot Inc. While the new team helped Lowe's record better quarterly same-store sales growth than Home Depot for the first time in three years, it was not fast enough in reacting to cost increases, crimping margins, which fell nearly 3%. "Because of ... the transition of our merchandising team, we literally had no visibility to those cost increases until the inventory that was increased in cost hit the P&L," Ellison said on a post-earnings call with analysts.
Investors are writing off Lowe's new CEO Marvin Ellison, "but he's been there for five minutes," says CNBC's Jim Cramer. "Marvin's doing everything he has to do," Cramer argues. CNBC's Jim Cramer on Wednesday urged investors not to bail on Lowe's LOW new CEO Marvin Ellison after the home improvement giant reported disappointing earnings that led to a major sell-off in the stock.
Lowe’s Stock Fell after Weak Q1 EarningsFirst-quarter performanceLowe’s (LOW) reported its first-quarter results on May 22. For the quarter ending on May 3, the company posted revenues of $17.74 billion and outperformed analysts’ expectation
Shares fell as much as 12% on Wednesday -- the most intraday since 2008.Adjusted earnings per share this year will be between $5.54 and $5.74, down from a prior outlook of $6 to $6.10. Key InsightsDemand is fine at the retailer, with Chief Executive Officer Marvin Ellison calling the U.S. consumer “healthy” and Lowe’s comparable sales beating those of bigger rival Home Depot Inc. But it’s costs, not demand, that dragged down results. Lowe’s took on cost increases from suppliers last year, Ellison said in an interview, but failed to offset that with boosting retail prices.
The stock was tumbling on Wednesday, following the home center’s downbeat first-quarter earnings and lowered full-year outlook.
Aside from new retail earnings reports, we look forward to parsing through the released minutes from the Federal Open Market Committee (FOMC).
U.S. stocks dipped on Wednesday, as reports that Washington could impose sanctions on another Chinese company heightened trade worries, while a slump in Qualcomm shares pressured the technology sector. The reports come after Washington's decision to temporarily ease curbs on Huawei Technologies calmed investors nerves on Tuesday over a hit to technology sector earnings from the Trump administration's decision last week to add the Chinese telecoms equipment maker to a trade blacklist. Qualcomm Inc plunged 10.1%, contributing the most to a 0.43% drop in the S&P 500 technology sector.
Lowe's posted weaker-than-expected first quarter earnings Wednesday, and trimmed its full-year outlook as rising costs hit profit margins, amid a series of disappointing reports from U.S. retailers.
Lowe's (LOW) top and bottom lines improve year over year in Q1. However, gross margin contracts owing to cost pressures, among other factors.
U.S. stock benchmarks opened lower Wednesday morning as markets awaited the release of Federal Reserve minutes that could shed light on the central bank's outlook for interest rates amid Sino-America trade tensions. The Dow Jones Industrial Average fell 55 points, or 0.2%, at 25,820, the S&P 500 index retreated 0.2% at 2,858, while the Nasdaq Composite Index slipped 0.2% at 7,768. Minutes from the rate-setting Federal Open Market Committee's April 30-May 1 meeting will be released at 2 p.m. Eastern Time, and come amid increasing expectations that the central bank will cut rates before year-end. In corporate news, shares of home-improvement retailer Lowe's Co. were under pressure, down 7.4%, after its earnings disappointed, while shares of Target Corp. soared more than 9% after its quarterly results. Both quarterly updates were released before the start of regular trade. And Qualcomm Inc. shares tumbled, after a federal judge ruled late Tuesday that the chip maker violated antitrust laws.
Our chart of the day, from Chris Ciovacco, founder and chief executive officer of Ciovacco Capital Management, cites a rare technical moves that points to two more years of gains for the S&P 500.