Lowe's cuts 2019 profit outlook due to high costs
Home renovation and improvement store Lowe’s has cut its full-year profit forecast after reporting disappointing first-quarter earnings, in part, due to cost increases.
“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.
"We are doubling our efforts, making sure we limit the number of surprises that will get us in the future,” he said.
Excluding one-time items, the company earned $1.22 per share in the three months ended May 3, missing analysts’ average estimate of $1.33, according to IBES data from Refinitiv. Overall, net sales rose 2.1% to $17.74 billion, beating expectations of $17.66 billion.
LOW in upward trend: price may jump up because it broke its lower Bollinger Band on December 12, 2024
LOW may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options. In of 33 cases where LOW's price broke its lower Bollinger Band, its price rose further in the following month. The odds of a continued upward trend are .
Technical Analysis (Indicators)
Bullish Trend Analysis
The RSI Oscillator points to a transition from a downward trend to an upward trend -- in cases where LOW's RSI Indicator exited the oversold zone, of 21 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
The Stochastic Oscillator shows that the ticker has stayed in the oversold zone for 9 days. The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an upward trend is expected.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where LOW advanced for three days, in of 356 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Aroon Indicator entered an Uptrend today. In of 334 cases where LOW Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
Bearish Trend Analysis
The Momentum Indicator moved below the 0 level on December 10, 2024. You may want to consider selling the stock, shorting the stock, or exploring put options on LOW as a result. In of 84 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for LOW turned negative on December 11, 2024. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 48 similar instances when the indicator turned negative. In of the 48 cases the stock turned lower in the days that followed. This puts the odds of success at .
LOW moved below its 50-day moving average on December 10, 2024 date and that indicates a change from an upward trend to a downward trend.
The 10-day moving average for LOW crossed bearishly below the 50-day moving average on December 13, 2024. This indicates that the trend has shifted lower and could be considered a sell signal. In of 12 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where LOW declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is seriously undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (0.000) is normal, around the industry mean (12.393). P/E Ratio (18.885) is within average values for comparable stocks, (36.657). Projected Growth (PEG Ratio) (3.244) is also within normal values, averaging (2.650). Dividend Yield (0.018) settles around the average of (0.034) among similar stocks. P/S Ratio (1.685) is also within normal values, averaging (19.235).
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 75, placing this stock better than average.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. LOW’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
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a company, which engages in the retail sale of home improvement products
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