Lowe’s shareholders might have something to cheer about. On Wednesday, Lowe’s announced a $10 billion stock repurchase program. The home improvement retail chain also said earnings per share would rise to a range of $6.00 and $6.10 for fiscal 2019. That’s higher than analysts’ expectation of $5.90, according to FactSet data (as reported by CNBC).
Lowe’s is apparently taking several steps towards uplifting its profitability. It is shuttering underperforming stores, while upping the ante on its e-commerce segment and software capabilities. The company plans to hire around 2,000 software engineers over the next few years. Also, during a meeting with investors, CEO Marvin Ellison said the company has to "get back to basics" and focus on fundamental aspects like customer service and having the optimal merchandise in stock. The retail chain hopes to open eight home improvement stores by the end of fiscal 2018. Earlier this year, it announced decision to close all of its Orchard Supply Hardware stores and terminate its Mexico retail operations.
The 10-day moving average for LOW crossed bearishly below the 50-day moving average on April 15, 2024. This indicates that the trend has shifted lower and could be considered a sell signal. In of 13 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 .
The Momentum Indicator moved below the 0 level on April 03, 2024. You may want to consider selling the stock, shorting the stock, or exploring put options on LOW as a result. In of 82 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 March 28, 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 46 similar instances when the indicator turned negative. In of the 46 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 April 10, 2024 date and that indicates a change from an upward trend to a downward trend.
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 .
LOW broke above its upper Bollinger Band on March 19, 2024. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
The Aroon Indicator for LOW entered a downward trend on April 23, 2024. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
The RSI Oscillator points to a transition from a downward trend to an upward trend -- in cases where LOW's RSI Oscillator exited the oversold zone, of 24 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
The Stochastic Oscillator suggests the stock price trend may be in a reversal from a downward trend to an upward trend. of 56 cases where LOW's Stochastic Oscillator exited the oversold zone resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where LOW advanced for three days, in of 359 cases, the price rose further within the following month. The odds of a continued upward trend are .
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 (12.617). P/E Ratio (18.885) is within average values for comparable stocks, (35.640). Projected Growth (PEG Ratio) (3.244) is also within normal values, averaging (2.536). Dividend Yield (0.018) settles around the average of (0.033) among similar stocks. P/S Ratio (1.685) is also within normal values, averaging (86.726).
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 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 77, placing this stock better than average.
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.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average 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 average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
a company, which engages in the retail sale of home improvement products
Industry SpecialtyStores