{"id":3952,"date":"2023-05-23T10:04:41","date_gmt":"2023-05-23T15:04:41","guid":{"rendered":"https:\/\/embarrdowns.com\/lowes-q1-results-show-dip-in-earnings-and-sales-but-optimism-remains-for-total-home-strategy\/"},"modified":"2023-05-23T10:04:41","modified_gmt":"2023-05-23T15:04:41","slug":"lowes-q1-results-show-dip-in-earnings-and-sales-but-optimism-remains-for-total-home-strategy","status":"publish","type":"post","link":"https:\/\/embarrdowns.com\/lowes-q1-results-show-dip-in-earnings-and-sales-but-optimism-remains-for-total-home-strategy\/","title":{"rendered":"Lowe’s Q1 Results Show Dip in Earnings and Sales, But Optimism Remains for Total Home Strategy"},"content":{"rendered":"

Lowe’s Companies, Inc. (LOW) is set to release its first quarter results on May 23, with earnings expected to be at $3.49 per share, a slight dip from the prior year’s quarter.[0]<\/a><\/sup> Sales are projected to decrease by 8% to $21.65 billion.[0]<\/a><\/sup> Despite the dip in earnings, the company is expected to rebound and see a 9% jump in fiscal year 2025 at $14.91 per share. On the top line, sales are forecasted to drop by 9% in FY24 before stabilizing and rising by 2% in FY25 to $90.58 billion.[0]<\/a><\/sup> <\/p>\n

However, Lowe’s shares slid in premarket action on May 23 due to a tempered outlook for FY23 total sales ranging from $87 billion to $89 billion instead of the previous forecast of $88 billion to $90 billion. Comparable sales are expected to decrease between 2% and 4%, and the company has reduced its projected adjusted diluted earnings per share from $13.60 to $14.00 to a range of $13.20 to $13.60.[0]<\/a><\/sup> <\/p>\n

Lowe’s Chairman, President, and CEO Marvin R. Ellison commented on the Q1 results, stating, “We are pleased with the performance of our business despite record lumber deflation and unfavorable spring weather.[0]<\/a><\/sup> Although we delivered positive comparable sales in Pro and online for the first quarter, we are updating our full-year outlook to reflect softer-than-expected consumer demand for discretionary purchases.”[0]<\/a><\/sup><\/p>\n

Despite the tempered outlook, Lowe’s has remained optimistic about the medium-to-long-term outlook for home improvement and its ability to continue growing market share through its Total Home strategy. The company plans to invest $2 billion in capital expenditures in 2023.[0]<\/a><\/sup><\/p>\n

Lowe’s has been underperforming the broader market in 2023, with its stock price rising by only 2.65% compared to the S&P 500’s total return of 7%.[0]<\/a><\/sup> However, analysts have given the company a consensus rating of “Hold” and a consensus target price of $223.08.[0]<\/a><\/sup><\/p>\n

Overall, Lowe’s is expected to see a rebound in earnings and sales in the coming years, despite a dip in Q1 results and tempered outlook for FY23. The company remains optimistic about its Total Home strategy and its ability to grow market share in the home improvement industry.<\/p>\n

0. <\/span>“LOWE’S REPORTS FIRST QUARTER 2023 SALES AND EARNINGS RESULTS” PR Newswire, 23 May. 2023, https:\/\/www.prnewswire.com\/news-releases\/lowes-reports-first-quarter-2023-sales-and-earnings-results-301831544.html<\/a><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Lowe’s Companies, Inc. (LOW) is set to release its first quarter results on May 23, with earnings expected to be at $3.49 per share, a slight dip from the prior year’s quarter.[0]<\/a><\/sup> Sales are projected to decrease by 8% to $21.65 billion.[0]<\/a><\/sup> Despite the dip in earnings, the company is expected to rebound and see a 9% jump in fiscal year 2025 at $14.91 per share. On the top line, sales are forecasted to drop by 9% in FY24 before stabilizing and rising by 2% in FY25 to $90.58 billion.[0]<\/a><\/sup> <\/p>\n

However, Lowe’s shares slid in premarket action on May 23 due to a tempered outlook for FY23 total sales ranging from $87 billion to $89 billion instead of the previous forecast of $88 billion to $90 billion. Comparable sales are expected to decrease between 2% and 4%, and the company has reduced its projected adjusted diluted earnings per share from $13.60 to $14.00 to a range of $13.20 to $13.60.[0]<\/a><\/sup> <\/p>\n

Lowe’s Chairman, President, and CEO Marvin R. Ellison commented on the Q1 results, stating, “We are pleased with the performance of our business despite record lumber deflation and unfavorable spring weather.[0]<\/a><\/sup> Although we delivered positive comparable sales in Pro and online for the first quarter, we are updating our full-year outlook to reflect softer-than-expected consumer demand for discretionary purchases.”[0]<\/a><\/sup><\/p>\n

Despite the tempered outlook, Lowe’s has remained optimistic about the medium-to-long-term outlook for home improvement and its ability to continue growing market share through its Total Home strategy. The company plans to invest $2 billion in capital expenditures in 2023.[0]<\/a><\/sup><\/p>\n

Lowe’s has been underperforming the broader market in 2023, with its stock price rising by only 2.65% compared to the S&P 500’s total return of 7%.[0]<\/a><\/sup> However, analysts have given the company a consensus rating of “Hold” and a consensus target price of $223.08.[0]<\/a><\/sup><\/p>\n

Overall, Lowe’s is expected to see a rebound in earnings and sales in the coming years, despite a dip in Q1 results and tempered outlook for FY23. The company remains optimistic about its Total Home strategy and its ability to grow market share in the home improvement industry.<\/p>\n

0. <\/span>“LOWE’S REPORTS FIRST QUARTER 2023 SALES AND EARNINGS RESULTS” PR Newswire, 23 May. 2023, https:\/\/www.prnewswire.com\/news-releases\/lowes-reports-first-quarter-2023-sales-and-earnings-results-301831544.html<\/a><\/a><\/p>\n","protected":false},"author":3,"featured_media":3951,"comment_status":"","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[47],"tags":[],"_links":{"self":[{"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/posts\/3952"}],"collection":[{"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/comments?post=3952"}],"version-history":[{"count":0,"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/posts\/3952\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/media\/3951"}],"wp:attachment":[{"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/media?parent=3952"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/categories?post=3952"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/tags?post=3952"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}