GET DAILY SIGNALSLowe's (LOW) Q1 2026 Earnings Preview: What Analysts Are Watching
Key Takeaways
- Analysts expect Q1 2026 revenue around $22.9 billion, reflecting about 9% year-over-year growth.
- Consensus EPS estimate stands at approximately $2.96 for the quarter.
- Investors are focused on continued momentum in the Pro segment versus softer DIY demand.
- Management is likely to reaffirm full-year fiscal 2026 guidance of $92 billion to $94 billion in sales.
- Comparable sales are projected to range from flat to up 2% for the year.
- Operating margin guidance targets 11.2% to 11.4% for fiscal 2026.
Why the Upcoming Report Matters
Lowe's Companies, Inc. reports its fiscal quarters on a retail calendar ending in late January, making the first quarter of fiscal 2026 a critical checkpoint early in the year. Following solid fourth-quarter 2025 results released in February, this report will shed light on spring demand trends in home improvement. With housing market conditions remaining mixed, I think investors will look to earnings for signals on Pro customer growth and overall margin stability. The report also sets the tone for how the company is tracking toward its full-year targets amid broader economic uncertainty.
Earnings Expectations in Detail
Wall Street analysts project revenue of roughly $22.9 billion for the first quarter of fiscal 2026, up approximately 9% from the prior year. Diluted earnings per share are expected to come in near $2.96. These figures build on last year’s performance and align with the company’s broader fiscal 2026 guidance for total sales between $92 billion and $94 billion. Investors will closely watch comparable sales trends, with expectations for results ranging from flat to up 2% for the full year. The Pro segment is anticipated to deliver double-digit growth, while the DIY business may face headwinds from a cautious housing market. Management is expected to provide updates on operating margins, targeted at 11.2% to 11.4% for the year, and any commentary on capital spending or share repurchase plans. To get a clearer picture of how LOW compares with peers, I also checked this using Tickeron’s AI Screener.
Market Reaction and Investor Sentiment
Sentiment heading into the earnings report remains cautiously optimistic, supported by the company’s recent track record of meeting or exceeding expectations. Traders are watching for any signs of acceleration in Pro sales or commentary on consumer spending resilience. Key risk factors include potential downside surprises in DIY comparable sales or margin pressure from promotional activity. Historical patterns show the stock often experiences elevated volatility in the days surrounding the release, with moves driven by how results align with or diverge from consensus estimates.
Using AI Tools to Refine the Analysis
When preparing for earnings like this one, I find it helpful to run a few targeted scans first. Tickeron’s AI Screener is an AI-powered stock and ETF discovery tool that helps traders and investors filter the market based on technical patterns, fundamentals, trends, volatility, and AI-driven signals. Users can scan thousands of stocks and ETFs using customizable filters such as industry, market capitalization, technical indicators, price patterns, and performance metrics. The screener helps identify trade ideas, trending stocks, breakout candidates, and market opportunities more efficiently than manual screening. AI Screener
Forward Outlook and Key Factors to Monitor
Following the earnings release, investors should focus on management’s updated views on full-year comparable sales and operating margins. Guidance reaffirmation or any adjustments will help shape expectations for the remainder of fiscal 2026.
Attention will also turn to early indicators of summer demand, including weather-related sales trends and Pro customer activity. Supply chain efficiency and inventory management remain important, as does the pace of share repurchases under the company’s capital return program.
Broader industry dynamics, such as interest rate movements and housing affordability, will continue to influence the outlook. Monitoring these elements will provide clearer insight into Lowe’s trajectory through the balance of the year.
Disclaimer
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Financial writer and active order flow futures trader with a focus on fundamental analysis, macroeconomic factors, and equity research. I make in-depth blogs on stocks and ETFs, bridging the gap between raw market data and real-world trading decisions.
Momentum Indicator for LOW turns positive, indicating new upward trend
LOW saw its Momentum Indicator move above the 0 level on October 13, 2026. This is an indication that the stock could be shifting in to a new upward move. Traders may want to consider buying the stock or buying call options. Tickeron's A.I.dvisor looked at 82 similar instances where the indicator turned positive. In 49 of the 82 cases, the stock moved higher in the following days. The odds of a move higher are at 60%.
Technical Analysis (Indicators)
Bullish Trend Analysis
The Moving Average Convergence Divergence (MACD) for LOW just turned positive on October 08, 2026. Looking at past instances where LOW's MACD turned positive, the stock continued to rise in 26 of 44 cases over the following month. The odds of a continued upward trend are 59%.
LOW moved above its 50-day moving average on October 22, 2026 date and that indicates a change from a downward trend to an upward trend.
The 10-day moving average for LOW crossed bullishly above the 50-day moving average on October 27, 2026. This indicates that the trend has shifted higher and could be considered a buy signal. In 8 of 16 past instances when the 10-day crossed above the 50-day, the stock continued to move higher over the following month. The odds of a continued upward trend are 50%.
Following a +4.82% 3-day Advance, the price is estimated to grow further. Considering data from situations where LOW advanced for three days, in 183 of 322 cases, the price rose further within the following month. The odds of a continued upward trend are 57%.
Bearish Trend Analysis
The 10-day RSI Indicator for LOW moved out of overbought territory on October 23, 2026. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 40 similar instances where the indicator moved out of overbought territory. In 30 of the 40 cases, the stock moved lower in the following days. This puts the odds of a move lower at 75%.
The Stochastic Oscillator demonstrated that the ticker has stayed in the overbought zone for 11 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
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 50 of 62 cases within the following month. The odds of a continued downward trend are 62%.
LOW broke above its upper Bollinger Band on October 22, 2026. 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 October 14, 2026. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Fundamental Analysis (Ratings)
The Tickeron SMR rating for this company is 6 (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 Seasonality Score of 50 (best 1 - 100 worst) indicates that the company is fair valued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Price Growth Rating for this company is 58 (best 1 - 100 worst), indicating fairly steady price growth. LOW’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is 61 (best 1 - 100 worst), pointing to consistent 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 Valuation Rating of 84 (best 1 - 100 worst) indicates that the company is slightly overvalued 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: LOW's P/B Ratio (-14.951) is slightly lower than the industry average of (1.609). P/E Ratio (16.738) is within average values for comparable stocks, (14.487). Projected Growth (PEG Ratio) (2.222) is also within normal values, averaging (1.177). Dividend Yield (0.025) settles around the average of (0.223) among similar stocks. P/S Ratio (1.202) is also within normal values, averaging (0.937).
The Tickeron Profit vs. Risk Rating rating for this company is 92 (best 1 - 100 worst), indicating that the returns do not compensate for the risks. LOW’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 93, placing this stock better than average.
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General Information
a company, which engages in the retail sale of home improvement products
Industry HomeImprovementChains
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