Shares of Lowe’s Companies, Inc. (NYSE: LOW) stayed green on Monday. The stock has gained 8% over the past one month. The home improvement retailer is set to report its third quarter 2023 earnings results on Tuesday, November 21, before market open. Here’s a look at what to expect from the earnings report:
Analysts are projecting revenue of $20.9 billion for Lowe’s in Q3 2023. This compares to revenue of $23.5 billion reported in the same quarter a year ago. In Q2 2023, net sales decreased 9% year-over-year to $25 billion.
The consensus estimate for Q3 2023 EPS is $3.03, which compares to EPS of $3.27 reported in the prior-year quarter. In Q2 2023, EPS fell 2% to $4.56.
Points to note
It is likely that in Q3 Lowe’s might see a continuation of the trends seen last quarter with customers focusing on smaller projects than larger remodels. It could also experience pressure in big-ticket discretionary categories. Lumber deflation is likely to have an impact on the top line and comps.
The Pro segment is likely to outperform the DIY segment with Pro backlogs anticipated to remain healthy. Pro-heavy categories like building materials and rough plumbing are likely to remain resilient amid the general softness.
In the second quarter, Lowe’s comparable sales dropped 1.6%. On its conference call, the company said that for Q3, it will be cycling over the toughest comparison of the year as it delivered plus 3% comparable sales in the US last year.
Lowe’s investments in its Total Home strategy and its omnichannel capabilities alongside its perpetual productivity improvement (PPI) initiatives are expected to help drive growth for the company. Factors such as home price appreciation, aging housing stock, millennial household formation, aging in place and remote work are also expected to act as tailwinds for the home improvement retailer.
Lowe’s competitor Home Depot (NYSE: HD) reported its third quarter 2023 earnings results last week. HD beat expectations on both revenue and earnings but narrowed its guidance for the full year of 2023. It will be worth watching whether Lowe’s revises its guidance as well.
The WEBFI algorithm actively curates and presents current news from the Internet, delivering it in both written and video formats on our platform. Unlike many other news sources, WEBFI Network - News Balance Security is committed to a user-friendly experience. We refrain from displaying advertising within our content, avoid any redirects to external sites, and meticulously filter out any graphic content deemed unsafe, sensitive, or private. Our primary goal is to provide visitors with a distraction-free and secure environment, ensuring they receive the news they seek.
Importantly, WEBFI Network does not collect any personal information from our visitors, and we do not engage in newsletter subscriptions. We take pride in remaining entirely advertiser-free, thanks to the support of our contributors and our dedicated hosting service partners. It's crucial to note that the opinions and content presented on our platform do not necessarily align with WEBFI NETWORK's opinion, philosophy, or vision. We strongly uphold the principle of freedom of speech, welcoming a diverse range of perspectives and ideas.
🌐 Discover News Balance 🇺🇲 - Your Round-the-Clock Source for Unbiased News!
Experience a continuous stream of comprehensive, unbiased news coverage 24/7/365 with News Balance 🇺🇲. Our carefully curated playlist ⏯ delivers a harmonious blend of national and global politics, cutting-edge tech updates, weather forecasts, noteworthy events, and captivating entertainment news.
The best part? No subscriptions, registrations, or downloads required. Enjoy an ad-free news experience with News Balance 🇺🇲.
"Introducing Unstoppable Private WebFi Websites – Your Forever Digital Haven.
Experience a lifetime of ownership with WebFi – where your digital presence is a lifelong investment. Embark on your journey to own a private website for life.
Our private servers set the gold standard in security and performance, ensuring your website stays in top form. With our lifetime license, the days of fretting about hosting renewals are behind you.
Unlock your very own WebFi space granting you a perpetual haven for your projects, free from the burden of recurring payments. Your sole financial commitment? Domain annuities to your domain provider – nothing more!
Choose WebFi and own your digital future, secure, simple, and everlasting."LEARN MORE