LOW

Lowe's Companies, Inc.

Next est. report 2026-11-18 · BMO

Buying a House '24: Home Services Buying a House '26: Home Improvement Retailers Climate Adaptation '26: Americans Beating the Heat Global Home Improvement '26: U.S. & Canada Home Improvement HaveNots Longs '25: Mass Market Home & Auto High Tax Refund '26: Deferred Durables & Home Homebuilding '26: Home Improvement, Installers & Distribution Natural Disasters Long '24: Home Improvement & BuildingRetail Shopping '25: Big Box RetailersSmall Themes '26: Housing Turnover

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Overview

Lowe's Companies, Inc. is a home improvement retailer offering products for construction, repair, and decorating to DIY homeowners and professional contractors.

Lowe's Companies, Inc. is a home improvement retailer offering products for construction, repair, and decorating to DIY homeowners and professional contractors. Key segments include Home Decor (~37%), Building Products (~31.5%), and Hardlines (~29%). It provides installation and home maintenance services, leveraging AI tools and acquisitions like FBM and ADG to expand wholesale distribution for builders, operating over 1,750 U.S. stores.

Search Keywords Brand Product

Mylow AI assistant
Mylow Companion
HomeCare+ subscription service
Pro Extended Aisle
Lowe's MVPs Business Tools
online marketplace
self-watering plant tables
Freight Flow 3.0
Full Shelf Replenishment
centralized communications portal
CRAFTSMAN tools
Kobalt tools
DEWALT tools
Traeger grills
A. O. Smith water heaters
SharkBite plumbing
Trex decking
TimberTech decking
Deckorators decking
Cree light bulbs
GE Profile appliances
LG appliances
Bosch appliances
Whirlpool appliances
John Deere outdoor power equipment
Toro outdoor power equipment
Ariens outdoor power equipment
EGO outdoor power equipment
Daltile flooring
KitchenAid appliances
LG SIGNATURE appliances
Cafe appliances
ZLINE appliances
Forno appliances
home improvement retail
Pro customer growth
DIY discretionary spending
online sales growth
AI in retail
home services market
residential construction market
tariff refunds impact
competitive pricing environment
operational discipline
perpetual productivity improvement
supply chain costs
housing market trends
consumer spending caution
loyalty programs
omnichannel experience
skilled trades workforce

Search Keywords Event Phrases

Lowe's Q2 2026 earnings
Labor Day sales
Halloween decor
Trim-A-Tree season

Search Keywords Policy Regulatory

IEEPA tariff refunds

What They Do (Plain English & Analogies): Lowe's is like a giant hardware store and home improvement center. Imagine a supermarket, but instead of food, it sells everything you could possibly need to build, fix, or decorate your house, from a small light bulb to a brand new kitchen. They serve two main types of customers: everyday homeowners and renters who like to do projects themselves (DIY), and professional contractors, builders, and property managers who need materials and services for bigger jobs. Beyond just selling products in their stores and online, they also offer services like installation for large projects and even a subscription for routine home maintenance. Through recent acquisitions, they've also expanded into supplying larger home builders and commercial clients with specialized interior materials like drywall and flooring.
Very Brief History: Lowe's Companies, Inc. was founded in 1921 in North Wilkesboro, North Carolina. It started as a local hardware store and grew significantly over the decades to become a major national home improvement retailer across the United States. While it previously had international operations, it has since focused primarily on the U.S. market. Recent strategic acquisitions of Foundation Building Materials (FBM) and Artisan Design Group (ADG) in 2025 further expanded its reach into wholesale distribution for professional builders.
"Street Stereotype": Lowe's is generally perceived by investors and analysts as a leading home improvement retailer and a key indicator for the health of the broader housing market and consumer spending on home-related projects. It's often viewed as highly sensitive to macroeconomic factors like interest rates, housing turnover, and consumer confidence, particularly concerning big-ticket discretionary purchases. It's also recognized as a direct competitor to other large home improvement chains, serving both DIY and professional contractor segments. The market closely watches its ability to execute its 'Total Home' strategy and leverage AI amidst a challenging housing environment.
Subsidiaries On Linked In*: Lowe's Pro Supply — Leading product, services, and solutions provider for Maintenance, Repair, and Operations (MRO), Residential Property Management Services, and Property Renovation and Repairs professionals.; LinkedIn: lowes-pro-supply
Artisan Design Group (ADG) — Acquired in 2025. A nationwide provider of design, procurement, and installation services for interior finishes including flooring, cabinets, and countertops, serving single and multi-family residential and commercial construction companies, and property managers.; LinkedIn: artisan-design-group
Foundation Building Materials (FBM) — Acquired in 2025. A leading North American distributor of drywall, steel framing, acoustic ceilings & construction supplies.; LinkedIn: myfbm
Customer Sectors & Example Clients: Lowe's serves a diverse customer base across several sectors: individual homeowners and renters (Do-It-Yourself or DIY customers), professional customers (Pros) such as small to medium-sized contractors and remodelers, larger residential and commercial builders, and property managers. Through its acquisitions of FBM and ADG, Lowe's also targets clients undertaking large-scale commercial projects such as data centers, stadiums, and other municipal contracts. While specific client companies are not named in the transcript, examples based on their business model include: DIY/Homeowners (individual consumers), Small to Medium Pros (local plumbers, electricians, landscapers), Large Residential Builders (e.g., national homebuilders), and Commercial Clients (e.g., developers of data centers or public infrastructure).
New Customers / Segments They'Re Targeting: Lowe's is actively targeting several new customer segments and expanding its reach. A key focus is on growing its **Pro customer** base, particularly small- and medium-sized Pros, by offering differentiated assortments, strong inventory, dedicated service levels, fulfillment capabilities, and tailored digital experiences, including the integration of Foundation Building Materials (FBM) and Artisan Design Group (ADG) to capture more planned Pro spend and serve larger residential and commercial builders. They are also expanding their **online marketplace** to offer a wider range of products and price points, catering to both value-conscious and premium customers. Furthermore, Lowe's is enhancing its **Home Services** for 'Do-It-For-Me' customers, especially for replacement projects, by creating a simpler and more convenient experience. The company is also expanding its **pet and workwear** assortments to all stores by year-end 2026 as part of its space productivity initiative, aiming to attract new customers seeking these convenience items. They are also expanding their assortment of **premium appliances and outdoor furniture** on Lowes.com and in year-round markets to capture demand from more affluent customers.
Supply Chain And Sourcing Geographies: Lowe's manages its supply chain with a focus on efficiency and maintaining strong in-stock positions. The company is actively engaged in "country award and diversification strategies" and navigates a "fluid tariff policy" to manage costs and ensure product availability. While specific sourcing countries or regions are not explicitly detailed, these strategies indicate a global approach to sourcing with an emphasis on mitigating risks associated with tariffs and supply chain disruptions. The company is also implementing Perpetual Productivity Improvement (PPI) initiatives like Freight Flow 3.0 and Full Shelf Replenishment to improve in-stocks and inventory accuracy from truck to shelf.
Sales Geographies And Expansion Plans: Lowe's primarily operates in the United States, serving customers across all three geographic divisions. As of July 31, 2026, the company operated 1,761 home improvement stores. Lowe's previously had international operations in Canada and Mexico but has since divested these. The company is expanding its national presence by opening new stores and extending offerings to more rural stores. Additionally, the national rollout of workwear and pet assortments to all stores is expected to be completed by the end of 2026.
How Key Themes May Help/Hurt: The 'Global Home Improvement '26: U.S. & Canada Home Improvement' theme presents both opportunities and challenges for Lowe's. The long-term structural demand from an aging U.S. housing stock and significant cumulative underspend in home repair and remodeling provides a robust tailwind for essential maintenance and renovation projects, which directly benefits Lowe's. The strategic industry shift towards the professional (Pro) contractor segment, supported by Lowe's targeted acquisitions (FBM, ADG) and investments in skilled labor training, expands its total addressable market with higher-value, less discretionary projects, enhancing resilience against DIY consumer volatility. Accelerated adoption and investment in AI-powered tools (Mylow, Mylow Companion) and omnichannel fulfillment strategies are enhancing customer experience, improving operational efficiencies, and driving digital sales growth, creating a competitive advantage and supporting market share gains. However, persistent macroeconomic headwinds, including elevated interest rates, high home prices, and historically low housing turnover, continue to suppress big-ticket discretionary DIY projects and overall housing-related demand, leading to a flat broader home improvement market outlook for 2026. Ongoing pressure on consumer discretionary spending due to inflation, high fuel costs, and general uncertainty is leading to cautious purchasing behavior, impacting sales of higher-margin, project-oriented goods. Strategic acquisitions, while beneficial long-term, are structurally diluting gross margins in the near term as wholesale operations typically feature lower profitability. This, combined with elevated freight costs and other operational pressures, creates headwinds for overall profitability.

3 Main Long-Term Bull Details

Diversified Growth through Total Home Strategy and Strategic Acquisitions: Lowe's 'Total Home' strategy successfully drives diversified growth across Pro, online, and home services. Strategic acquisitions of Foundation Building Materials (FBM) and Artisan Design Group (ADG) position the company to capitalize on the future recovery of the residential homebuilding market, providing a comprehensive interior solutions platform for builders and expanding its market reach.
Leadership in AI Integration for Enhanced Customer Experience and Operational Efficiency: Lowe's is a frontrunner in leveraging AI to transform both customer and associate experiences. Mylow, the AI-powered shopping assistant, supports over 25 million inquiries and triples conversion rates for users, while Mylow Companion for associates improves customer service and productivity. This technological advantage drives efficiency and value.
Robust Structural Demand and Strategic Investments for Future Growth: Despite near-term macroeconomic headwinds, the long-term structural demand for home improvement remains strong due to an aging U.S. housing stock and record home equity. Lowe's strategic investments, such as the $250 million commitment to train skilled tradespeople, address critical industry needs and support future Pro demand, positioning the company for sustained growth as market conditions normalize.

3 Main Long-Term Bear Details

Persistent Challenging Housing Macro and DIY Discretionary Pressure: The home improvement market continues to face significant headwinds from elevated interest rates, higher costs, and low housing turnover, creating a 'lock-in effect' that suppresses big-ticket discretionary DIY projects. This challenging environment, expected to keep the broader market flat in 2026, leads to declining comparable transactions and ongoing consumer caution, particularly among lower-income segments.
Near-Term Margin Pressure from Acquisitions and Rising Costs: While strategic, the recent acquisitions of FBM and ADG are currently diluting gross margin and are expected to pressure operating margins due to acquisition-related intangible asset amortization. This, combined with immediate impacts from rising fuel and transportation costs, creates a challenging cost environment.
Uncertainty in Consumer Spending and Competitive Pricing Environment: The consumer environment is characterized by caution, with discretionary DIY demand remaining under pressure. Heightened competitive pressures, particularly in seasonal categories due to competitors utilizing tariff refunds for aggressive pricing, impacted Lowe's sales in July. This uncertainty and aggressive pricing can make it difficult for Lowe's to achieve its growth targets without a significant improvement in broader market conditions or a shift in competitive dynamics.

Competitors And Differentiation: Lowe's operates in a competitive home improvement market, with its primary rival being The Home Depot. Lowe's differentiates itself through its 'Total Home' strategy, which focuses on driving growth in its Pro, Online, and Home Services segments. Key differentiators include: a robust loyalty ecosystem with MyLowe's Rewards and MyLowe's Pro Rewards, offering exclusive member offers and enhanced fulfillment options; a best-in-class omnichannel experience with fast, reliable fulfillment, including next-day delivery and installation for major appliances in virtually every U.S. ZIP code; a broad assortment of leading national and private brands, including exclusive offerings like Cree light bulbs in the home center channel, and a strong lineup in outdoor power equipment and tools; and significant investments in AI-powered tools like Mylow (customer AI assistant) and Mylow Companion (associate AI tool) to enhance the digital experience, improve customer service, and drive conversion. The company also leverages strategic acquisitions like FBM and ADG to expand its reach into wholesale distribution for larger Pro customers.
Recent Performance & What The Market'S Focused On: Lowe's reported Q2 2026 sales of $26 billion, an 8.3% increase year-over-year, with comparable sales rising 0.2%. This marks the fifth consecutive quarter of positive comparable sales, driven by strong performance in Pro, online (up 15.7%), and home services, which helped offset persistent DIY discretionary spending and challenging weather during Memorial Day weekend. Adjusted diluted EPS for Q2 was $4.40, including an $0.11 benefit from IEEPA tariff refunds, which exceeded expectations even when excluding this benefit. However, gross margin was 33%, down 80 basis points, primarily due to the dilutive impact of the FBM and ADG acquisitions and elevated fuel and transportation costs, partially offset by tariff refunds and favorable credit revenue. The company updated its full-year 2026 financial outlook to the bottom end of its previous guidance, expecting sales of approximately $92 billion with roughly flat comparable sales, an adjusted operating margin of approximately 11.6%, and adjusted diluted EPS of approximately $12.25. The market is focused on the continued pressure on DIY demand, the impact of the FBM and ADG acquisitions on margins, ongoing cost pressures (fuel, transportation), and the competitive pricing environment, particularly the transitory aggressive pricing seen in July. Investors are also tracking the effectiveness of Lowe's 'Total Home' strategy, the adoption and impact of its AI tools (Mylow, Mylow Companion), and the company's ability to drive productivity and manage expenses in a dynamic macro environment.

Revenue Segments And Estimated Mix: Building Products — Mix: ~31.5%; Source: FY24 filing data; Trend: Generated broad-based growth with positive comps in rough plumbing, millwork, electrical, and lumber in Q2 2026, reflecting strategic investments in Pro and ongoing strength in repair and maintenance projects.
Hardlines — Mix: ~29.0%; Source: FY24 filing data; Trend: Grew comp sales in lawn and garden, and tools and hardware in Q2 2026, with spring seasonal categories performing well.
Home Decor — Mix: ~36.9%; Source: FY24 filing data; Trend: Delivered strong performance across interior categories, including positive comps in appliances (seventh consecutive quarter), paint, and kitchen and bath in Q2 2026.
Other Sales (Product) — Mix: ~2.6%; Source: FY24 filing data; Trend: n/m
Service — Mix: n/m; Source: FY24 filing data; Trend: Delivered another quarter of growth in Q2 2026 as Do-It-For-Me customers engaged with the simpler and more convenient experience, especially in replacement projects.
Acquisitions (FBM and ADG) — Mix: n/m; Source: Q2 2026 transcript and search results; Trend: Had a dilutive impact on gross margin in Q2 2026. Outlook assumes continued elevated pressures in residential construction impacting both top and bottom lines for FBM and ADG in the second half of 2026.
Product Brands: Lowe's
Kobalt®
Project Source®
allen + roth®
Sta-Green®
Master Forge®
Style Selections®
Severe Weather®
Origin 21®
Heart & Herd™
RELIABILT®
Utilitech®
Moxie®
Lowe's Essentials™
Holiday Living®
Haunted Living®
Highland®
Blue Hawk
Garden Treasures
Harbor Breeze
Portfolio
Top Choice
Pella
Therma-Tru
LARSON
TOTO
Toro
EGO
John Deere
Husqvarna
CRAFTSMAN
Scott's
Oldcastle
Pavestone
Carhartt
Dickies
Wrangler Apparel
Sherwin-Williams
Weber
Char-Broil
Blackstone
Daltile
STAINMASTER
DEWALT
Whirlpool
Samsung
Frigidaire
KitchenAid
LG
GE
Café Appliances
FORNO Appliances
SHARP®
BISSELL
BLACK+DECKER
BLUE RHINO
BROIL KING
Backyard Discovery
Baldwin
CALI
CATALYST™ Fence Solutions
Cabot® Stain & Sealer
Cash Acme
FLEX Power Tools
Fanimation
Febreze Air Freshener
Filtrete™
Firman
GAF Roofing
GE Lighting
GRK
GROHE
HALO
Haier
Hanover
MAAX
MAPEI
MRCOOL
Masonite Doors
PORTER CABLE Tools & Accessories
Paslode
Peerless Faucets
SAFAVIEH Home Furnishings
SKIL
SMARTCORE Flooring
Mylow
HomeCare+
MyLowe's Pro Rewards
MyLowe's Rewards
Lionel Messi inflatable
A. O. Smith
SharkBite
Trex
TimberTech
Deckorators
Cree
GE Profile
Instacart (sync partner)
LG SIGNATURE
ZLINE

Bull / Bear Details

Lowe's demonstrates resilience through its Total Home strategy, driving growth in Pro, online, and home services. Despite a challenging housing macro, persisten

Thesis

Lowe's demonstrates resilience through its Total Home strategy, driving growth in Pro, online, and home services. Despite a challenging housing macro, persistent DIY pressure, and heightened competitive pricing in Q2, strong structural demand, significant AI productivity, and disciplined expense management position the company for long-term value. The updated fiscal 2026 outlook reflects near-term headwinds, but strategic investments and operational excellence make the bull case compelling. (Updated: 2026-08-21)

Bull case

Lowe's Total Home strategy continues to drive diversified growth, with Q2 2026 comparable sales up 0.2% and online sales growing 15.7%. Strong performance in Pro, Home Services, and Appliances (seven consecutive quarters of positive comp) demonstrates market share gains. Expanded premium assortments and the MyLowe's Rewards loyalty program, with over 30 million members, further enhance offerings and customer engagement.
Lowe's is a leader in leveraging AI to enhance customer experience and operational efficiency. Mylow, the AI shopping assistant, has supported over 25 million customer and associate inquiries since inception, significantly increasing from prior reports. Online customers using Mylow convert at triple the rate of non-users, reinforcing its clear role in driving purchasing decisions and improving productivity.
Despite near-term headwinds, Lowe's strategic acquisitions of FBM and ADG are positioned to capitalize on the future recovery of the residential homebuilding market. The long-term structural demand for home improvement remains robust, driven by an aging housing stock and an estimated $20 billion to $50 billion in pent-up deferred project demand, supporting sustained growth.

Bear case

A challenging housing macro environment continues to pressure DIY demand. Elevated interest rates, high home prices, insurance, and taxes contribute to affordability concerns and a 'lock-in effect,' suppressing big-ticket discretionary DIY projects. Q2 comparable transactions declined 2.1%, reflecting persistent consumer caution and a 'K-shaped economy' where lower-income segments remain hesitant to spend.
Acquisitions of FBM and ADG, while strategic long-term, continue to face significant pressure from the residential construction market, which is "bumping along at multiyear lows." This impacts both top and bottom lines for these businesses. Additionally, ongoing elevated fuel, transportation, energy, and other input costs create persistent near-term profitability headwinds, despite productivity initiatives.
Lowe's faced heightened competitive pressures in July, as competitors utilized tariff refunds for aggressive pricing in seasonal categories, impacting Lowe's sales. This, combined with softer DIY demand, led to an updated full-year 2026 outlook at the bottom end of previous guidance, including a projected Q3 adjusted diluted EPS approximately 7% below prior year.

Bull / Bear Case

Bear Case: A challenging housing macro environment continues to pressure DIY demand, with elevated interest rates, high home prices, insurance, and taxes contributing to affordability concerns and a 'lock-in effect,' suppressing big-ticket discretionary DIY projects. Q2 comparable transactions declined 2.1%, reflecting persistent consumer caution and a 'K-shaped economy.' Acquisitions of FBM and ADG, while strategic long-term, continue to face significant pressure from the residential construction market, which is 'bumping along at multiyear lows,' impacting both top and bottom lines. Additionally, ongoing elevated fuel, transportation, energy, and other input costs create persistent near-term profitability headwinds. Lowe's faced heightened competitive pressures in July, impacting sales, leading to an updated full-year 2026 outlook at the bottom end of previous guidance, including a projected Q3 adjusted diluted EPS approximately 7% below prior year.
Bull Case: Lowe's Total Home strategy continues to drive diversified growth, with Q2 2026 comparable sales up 0.2% and online sales growing 15.7%. Strong performance in Pro, Home Services, and Appliances (seven consecutive quarters of positive comp) demonstrates market share gains. The company is a leader in leveraging AI, with Mylow supporting over 25 million customer and associate inquiries and tripling online conversion rates for users. Despite near-term headwinds, strategic acquisitions of FBM and ADG are positioned to capitalize on the future recovery of the residential homebuilding market. The long-term structural demand for home improvement remains robust, driven by an aging housing stock and an estimated $20 billion to $50 billion in pent-up deferred project demand. Operational discipline and Perpetual Productivity Improvement (PPI) initiatives are driving efficiency and profitability.
More Compelling & Why: Bear. Lowe's current EV/EBITDA of approximately 12.8x to 13.11x is significantly above the Retail - Cyclical industry median of 9.01x, suggesting the stock is not deeply discounted despite near-term challenges. The most compelling bear argument is the persistent pressure on DIY demand and the residential construction market, directly impacting sales and profitability, as evidenced by the lowered full-year guidance and projected Q3 EPS decline. My view would flip to bullish with a sustained improvement in DIY discretionary spending and a clear rebound in the residential construction market, leading to upward revisions in Lowe's guidance and a significant acceleration in comparable sales growth.

Key Factors5 rows

Key Factor	Why It Matters	What To Watch	What It Signals	Where/How To Track	Free Alt Data	Paid Alt Data
Pro Segment Growth and Shift in Project Mix	The Pro segment is a key growth driver and a more resilient part of Lowe's business. A shift towards smaller repair projects, while still showing growth, indicates caution among homeowners and could impact average project value and overall Pro revenue.	Reported comparable sales growth for the Pro segment (Q2 delivered another quarter of growth). Management commentary on Pro customer backlogs and the mix of repair/maintenance vs. larger remodeling jobs.	Bullish: Pro comparable sales growth consistently outperforming overall comps (e.g., significantly above 0.2% overall comp in Q2), and commentary indicating a stabilization or increase in larger remodeling projects. Bearish: Slowdown in Pro growth (e.g., near 0% or negative comp), or continued emphasis on smaller repair/maintenance projects without a clear path to larger remodels.	Company earnings calls and press releases (quarterly).	Industry reports from Home Improvement Research Institute (HIRI) on Pro spending trends.	Thinknum: Job postings for skilled trades (e.g., plumbers, electricians) in key Lowe's markets.
Trends in DIY discretionary purchases and comparable transactions	DIY demand is a significant driver of Lowe's overall performance. Continued pressure on discretionary spending and declining transactions signal weakening consumer confidence and potential market share loss, impacting revenue and profitability.	Comparable transactions (Q2 declined 2.1%). Management commentary on DIY comparable sales performance and average ticket size for DIY customers in future earnings calls.	Bullish: Sustained increase in DIY comparable sales, positive shift in average ticket size for DIY, or an improvement/positive growth in comparable transactions (e.g., above 0% growth). Bearish: Continued pressure, further decline in these categories, or continued negative comparable transactions (e.g., below -2.1% decline).	Company earnings calls and press releases (quarterly).	Google Trends: 'DIY home projects,' 'home renovation costs.'	Earnest Research: Consumer transaction data for home improvement categories; Placer.ai: Lowe's store foot traffic % change YoY.
AI Tool Adoption and Conversion Rates (Mylow)	Mylow is a key AI investment driving digital sales and customer engagement, significantly improving online conversion. Sustained high adoption and conversion rates validate Lowe's AI strategy and contribute to online sales growth.	Mylow customer inquiries (currently over 25 million since inception). Online conversion rate for Mylow users (currently triple that of non-users). Management commentary on Mylow's ongoing impact on online sales.	Bullish: Continued increase in Mylow inquiries (e.g., exceeding 25 million questions significantly), sustained or increased triple conversion rate for Mylow users, and explicit positive commentary on Mylow's contribution to online sales growth. Bearish: Stagnation or decline in Mylow inquiries or conversion rates, or lack of positive updates on its impact.	Company earnings calls and investor presentations (quarterly).	Lowe's website traffic analysis (e.g., Similarweb free tier for engagement metrics).	Similarweb: Lowes.com conversion rates and user engagement with AI features.
Impact of Competitive Pricing (Tariff Refunds)	Aggressive competitive pricing, even if transitory, can impact Lowe's sales performance and market share, particularly in discretionary seasonal categories. Management's decision not to match these promotions highlights a focus on profitability but risks short-term sales.	Management commentary on competitive landscape and pricing strategies in Q3 and Q4. Any mention of further tariff refunds received by competitors or Lowe's.	Bullish: Management reiterates that competitive pricing was transitory and returns to a more rational environment. Lowe's maintains disciplined pricing while driving sales through loyalty programs and product innovation. Bearish: Continued aggressive competitive pricing in Q3/Q4, forcing Lowe's to either match promotions (impacting margins) or lose further market share.	Company earnings calls and press releases (quarterly). Industry news and competitor earnings calls.	Google Shopping Trends for seasonal home improvement items (e.g., 'grills sale,' 'patio furniture deals').	Pricefx or Prisync: Competitor pricing analysis.
Performance of FBM/ADG Acquisitions and Residential Construction Market	These acquisitions are strategic for Lowe's long-term Pro growth and market share in residential construction. Continued pressure on this market directly impacts their top and bottom lines, affecting Lowe's overall financial outlook.	Management commentary on FBM and ADG's sales performance and profitability. Updates on the residential construction market (e.g., housing starts, new home sales).	Bullish: Commentary indicating stabilization or improvement in residential construction, or FBM/ADG outperforming expectations despite market headwinds, with clear progress on integration benefits. Bearish: Continued or worsening pressure on residential construction, leading to further negative impact on FBM/ADG's top and bottom lines, or delays in realizing integration benefits.	Company earnings calls and press releases (quarterly). U.S. Census Bureau: Housing Starts and Building Permits (monthly).	National Association of Home Builders (NAHB) Housing Market Index (monthly).	Dodge Data & Analytics: Residential construction project starts; Earnest Research: Spending trends at building material distributors.

Key Reported Metrics, Reratings Triggers & Results3 rows

Strong online growth demonstrates the success of Lowe's omnichannel strategy and its ability to capture market share through enhanced digital experiences and AI

Upcoming print · 2026-11-18

Key reported metrics
Metric	Last period	Why it matters
Online Sales Growth	15.7% y/y growth	Strong online growth demonstrates the success of Lowe's omnichannel strategy and its ability to capture market share through enhanced digital experiences and AI investments, helping to offset DIY weakness.
Adjusted Diluted Earnings Per Share Growth	$4.40 (1.6% y/y growth)	This is a key indicator of Lowe's profitability and operational efficiency. With ongoing cost pressures, acquisition impacts, and specific Q3 guidance, it's crucial for assessing shareholder value creation.
Comparable Sales	0.2% y/y growth	This metric reflects the health of Lowe's existing business and consumer demand. Given soft DIY demand and competitive pressures, its performance indicates the effectiveness of the Total Home strategy and ability to gain market share.

Last reported · 2026-08-19

Key reported metrics			Rerating thresholds			Earnings results
Metric	Last period	Why it matters	What's needed for rerating	Rerating context	Earnings date	Actual reported	Hit target?	Notes
Adjusted Diluted Earnings Per Share Growth	3.8%	This is a key indicator of Lowe's profitability and operational efficiency, especially important given the challenging macro environment and expected Q2 pressure, reflecting shareholder value creation.	For Lowe's stock to rerate higher, the Adjusted Diluted Earnings Per Share Growth for Q2 2026 needs to exceed the analyst consensus expectation of a 2.31% decrease year-over-year. Achieving positive growth (above 0%) would be a significant catalyst, representing a substantial beat against both company guidance (approximately 2% below prior year) and current analyst estimates for a decline.	Achieving positive Adjusted Diluted EPS Growth would signal Lowe's effective management of acquisition dilution and rising transportation costs. This would demonstrate the resilience of its Total Home strategy and Perpetual Productivity Improvement initiatives in a challenging DIY market, reassuring investors about profitability and long-term value creation.	2026-08-19	$4.40 (1.6% y/y growth)	Yes	Lowe's reported adjusted diluted EPS of $4.40, an increase of 1.6% year-over-year, which included an $0.11 benefit from tariff refunds. This positive growth exceeded the analyst consensus expectation of a 2.31% decrease and the company's own guidance of approximately 2% below the prior year, leading to a positive stock reaction in premarket trading.
Online Sales Growth	15.5%	Strong online growth demonstrates the success of Lowe's omnichannel strategy and its ability to capture market share through enhanced digital experiences, appealing to both DIY and Pro customers.	Online Sales Growth of 17% or higher for Q2 2026.	Achieving 17%+ online sales growth demonstrates successful omnichannel and 'Total Home' strategy execution, validating AI investments. This acceleration, amidst a challenging DIY market, signals market share gains and resilience, boosting investor confidence in Lowe's long-term growth and competitive positioning, driving a positive rerating.	2026-08-19	15.7% y/y growth	No	Online sales grew by 15.7%, showing continued momentum due to investments in digital experience and the Mylow AI agent, which triples conversion rates for users. However, this growth fell short of the 17% rerating threshold.
Comparable Sales	0.6%	This metric is crucial as it reflects the health of Lowe's existing business and consumer demand in the home improvement market, indicating the effectiveness of its Total Home strategy and ability to gain market share, especially amidst DIY pressure.	Comparable sales growth of at least 1.5% for Q2 2026. This would exceed Lowe's management guidance of approximately 1% for the quarter and demonstrate an accelerating trend from the 0.6% comparable sales growth reported in Q1 2026.	Achieving this threshold would signal stronger-than-expected execution of Lowe's Total Home strategy and resilience against ongoing DIY market pressures. It would validate market share gains, particularly in the Pro and online segments, and suggest an improving demand environment, driving a positive rerating for the stock.	2026-08-19	0.2% y/y growth	No	Comparable sales increased by 0.2%, which was below the rerating trigger of at least 1.5% and the company's guidance of approximately 1% for the quarter. This was attributed to softer DIY discretionary spend, challenging weather during Memorial Day weekend, and heightened competitive pressures in July.

Key Questions

Given the updated full-year outlook for roughly flat comparable sales and the expectation of Q3 comparable sales being in line with this, can Lowe's effectively

Given the updated full-year outlook for roughly flat comparable sales and the expectation of Q3 comparable sales being in line with this, can Lowe's effectively navigate persistent soft DIY demand and the potential for continued competitive pricing pressures (beyond the transitory tariff refund impact) to achieve its sales targets and reverse the decline in comparable transactions?

Question 2: With Q3 adjusted diluted EPS projected to be approximately 7% below prior year, can Lowe's effectively manage the ongoing margin pressure from elevated fuel and transportation costs, and the continued headwinds impacting FBM and ADG from the residential construction market, while strategically utilizing any further tariff refunds to drive profitable growth?
Question 3: Can Lowe's continue to scale the adoption and impact of its AI tools, such as Mylow (which has supported over 25 million questions and triples online conversion for users) and Mylow Companion, to drive significant productivity gains and enhance customer experience, thereby effectively offsetting rising costs and contributing to market share gains as outlined in its Perpetual Productivity Improvement initiatives?

Earnings Transcript Summary3 rows

2026-08-19 · 2026Q2 Earnings Call

3 Things Management Is Most Focused On	Call Takeaway & Tone	Prior Quarter'S Y/Y Growth By Segment	3 Things Analysts Most Pressed On (And Mgmt Responses)	Revenue Segments
3 Things Management Is Most Focused On1. Disciplined expense management and Perpetual Productivity Improvement (PPI) initiatives: Management emphasized their ability to deliver better-than-expected flow-through and manage profitability effectively despite elevated fuel, transportation, energy, and other input costs, leveraging PPI initiatives to optimize resources and invest in strategic priorities. 2. Continued investment in the Total Home strategy, particularly Pro, Online, and Home Services: Management highlighted strong performance in these areas, offsetting softer DIY discretionary spend. They are focused on enhancing the digital experience, expanding loyalty programs, and integrating acquisitions like FBM and ADG to grow share with larger Pro customers. 3. Leveraging AI to enhance customer and associate experience and drive productivity: Management is focused on the continued adoption and value of their AI agent Mylow for customers, which triples conversion rates for online users, and Mylow Companion for associates, demonstrating strong adoption and resonance.	Call Takeaway & ToneThe overall takeaway from the call is that Lowe's delivered resilient performance in the second quarter of 2026, achieving positive comparable sales despite a challenging macro environment characterized by soft DIY demand, persistent macro pressures, and heightened competitive pricing in July. The company's Total Home strategy, driven by strong growth in Pro, Online, and Home Services, along with strategic investments in AI, helped to offset these headwinds. Management updated its full-year 2026 financial outlook to the lower end of the previous guidance range, reflecting continued pressure in the residential construction market impacting acquisitions (FBM and ADG) and a cautious view on DIY demand for the second half. The tone of the call was cautiously optimistic and disciplined, with management acknowledging external challenges but expressing strong confidence in their strategic execution, operational discipline, and long-term growth opportunities, particularly as market conditions improve.	Prior Quarter'S Y/Y Growth By SegmentIn the first quarter of 2026, comparable sales increased 0.6%. Online sales grew 15.5%. The Pro segment delivered continued growth. Home Services delivered growth. Appliances and Paint drove positive comparable sales. Hardlines, including Lawn and Garden, Seasonal and Cleaning, Tools and Hardware, and Power Equipment, delivered positive comparable sales across every merchandise division. Building Products, particularly rough plumbing and electrical, HVAC, water heaters, and millwork, continued to drive growth. Acquisitions of FBM and ADG contributed $1.75 billion to net sales in Q1 2026.	3 Things Analysts Most Pressed On (And Mgmt Responses)1. Competitive pressures and their impact on July's comparable sales: Analysts questioned the heightened competitive pressures, particularly in July, and how Lowe's plans to combat them. Management responded that these pressures were transitory, primarily from competitors using tariff refunds for aggressive pricing in seasonal categories. They emphasized their commitment to operational discipline, leveraging their DIY loyalty program for differentiated value, and outlined plans for Labor Day, Mylow's Rewards events, new product innovations, and premium assortments. 2. Performance of FBM and ADG acquisitions and their impact on the full-year outlook: Analysts inquired about the performance of FBM and ADG during the quarter and if the full-year guidance revision included a reduction in their organic growth. Management stated that elevated rates in residential construction are suppressing new builds and near-term housing demand, impacting FBM and ADG. The updated outlook assumes continued pressure in residential construction, affecting both top and bottom lines for these businesses. 3. The promotional environment in Q3 and whether it represents a 'new normal': Analysts asked about the promotional environment and if the aggressive pricing seen was a permanent shift. Management believes it is transitory, a result of competitors using tariff refunds, and that the home improvement market will return to a more rational promotional environment. They reiterated their disciplined approach, focusing on loyalty programs, new product rollouts (pet and workwear, tools, holiday sets), and strengthening core performing categories.	Revenue SegmentsOverall sales for the second quarter were $26 billion, up 8.3% year-over-year. Comparable sales increased 0.2%. Online sales grew 15.7%. The Pro segment delivered another quarter of growth. Home Services delivered another quarter of growth. In building products, rough plumbing, millwork, electrical, and lumber generated broad-based growth with positive comparable sales. In home decor, appliances, paint, and kitchen and bath delivered strong performance with positive comparable sales. In hard lines, lawn and garden, and tools and hardware grew comparable sales.

2026-05-20 · 2026Q1 Earnings Call

3 Things Management Is Most Focused On	Call Takeaway & Tone	Prior Quarter'S Y/Y Growth By Segment	3 Things Analysts Most Pressed On (And Mgmt Responses)	Revenue Segments
3 Things Management Is Most Focused On1. Disciplined execution of the Total Home strategy: Management is focused on driving continued growth regardless of market conditions by strengthening Pro, Online, and Home Services, leveraging loyalty programs, and integrating acquisitions like FBM and ADG to capitalize on the future residential homebuilding market. 2. Leveraging AI for customer experience and productivity: Lowe's is focused on deploying AI-powered tools like Mylow (shopping assistant) and Mylow Companion (associate tool) to enhance the online shopping experience, improve customer service, and drive productivity, with Mylow adoption scaling meaningfully and tripling conversion rates for users. 3. Perpetual Productivity Improvement (PPI) initiatives and cost management: Management continues to prioritize PPI initiatives to deliver meaningful results, offset underlying cost pressures, mitigate inflation, and support reinvestment and value for customers, while also managing expenses and working to offset higher transportation costs.	Call Takeaway & ToneThe overall takeaway from the call is that Lowe's delivered resilient performance in the first quarter of 2026, achieving positive comparable sales despite a challenging DIY market and early-quarter weather disruptions. The company's Total Home strategy, focusing on Pro, Online, and Home Services, along with strong spring execution, drove these results. Management affirmed its full-year guidance, anticipating an acceleration in the second half of the year driven by strategic initiatives rather than an expected change in macro conditions. Significant investments in AI are enhancing both customer experience and operational productivity. The integration of FBM and ADG acquisitions is on track, positioning Lowe's for long-term growth in the residential construction market despite current headwinds. The tone of the call was cautiously optimistic and confident, with management acknowledging the difficult macro environment but expressing strong belief in their strategic execution and operational discipline to continue taking market share.	Prior Quarter'S Y/Y Growth By SegmentIn the fourth quarter of 2025, comparable sales increased 1.3%. Online sales grew 10.5%. Home Services experienced high single-digit growth. The Pro segment achieved another quarter of growth, with one source indicating high single-digit growth.	3 Things Analysts Most Pressed On (And Mgmt Responses)1. Comp outlook, Q1 weather impact, and potential shift of spring demand to Q2: Analysts questioned if March's strength was deferred February demand and if spring sales shifted to Q2. Management responded that Q1 weather was mixed, with February impacted by winter storms, but March and April saw more normal spring temperatures. They expressed excitement for Q2, anticipating strong performance from products, values, and events, as well as benefits from tax refunds. 2. Impact of tax stimulus and potential consumer pullback in the back half of the year: Analysts inquired about the help from tax stimulus and concerns about consumer pullback. Management stated that Q1 tax refund impact was limited, with about 20% spent, 50% in savings, and the remainder offsetting fuel prices. They estimate nearly $50 billion in refunds are yet to be distributed, potentially benefiting Q2, and noted that consumer behavior aligns with a K-shaped economy. 3. The challenging cost environment and flexibility to meet margin goals: Analysts asked about the impact of a more challenging cost environment on margin goals. Management acknowledged new risks from oil prices impacting fuel and commodity-based products, noting Q2 is seeing some pressure. They are working with vendor and supply chain partners to mitigate impacts, adjusting contracts, and leveraging PPI initiatives to offset costs, expressing confidence in their proven playbook to manage profitability.	Revenue SegmentsComparable sales increased 0.6%. Online sales grew 15.5%. Adjusted diluted earnings per share increased 3.8%. The Pro segment delivered continued growth. Home Services again delivered growth. Appliances and Paint drove positive comparable sales. Hardlines, including Lawn and Garden, Seasonal and Cleaning, Tools and Hardware, and Power Equipment, delivered positive comparable sales across every merchandise division. Building Products, particularly rough plumbing and electrical, HVAC, water heaters, and millwork (driven by windows and doors), continued to drive growth. Comparable average ticket increased 1.5%, while comparable transactions declined 0.9%. Acquisitions of FBM and ADG had a dilutive impact on gross margin but an accretive impact on SG&A.

2026-02-25 · 2025Q4 Earnings Call

3 Things Management Is Most Focused On	Call Takeaway & Tone	Prior Quarter'S Y/Y Growth By Segment	3 Things Analysts Most Pressed On (And Mgmt Responses)	Revenue Segments
3 Things Management Is Most Focused On1. Perpetual Productivity Improvement (PPI) initiatives: Management is relentlessly focused on PPI to create greater financial agility, manage expenses, and offset cost pressures. This includes workforce reductions, front-end transformation, enhanced freight flow, and AI-enabled full shelf replenishment. 2. Total Home Strategic Initiatives: The company is committed to its Total Home strategy, which involves strengthening its Pro, online, and home services offerings. This includes expanding product assortments (e.g., DEWALT power tools), enhancing digital experiences, and integrating recent acquisitions like FBM and ADG to serve larger home builders and capitalize on cross-selling opportunities. 3. Outperforming the market and taking share: Despite a cautious outlook on the housing macro environment due to persistent volatility, high interest rates, and subdued consumer confidence, management is confident that their investments and strategic execution will enable them to outperform the market and gain share.	Call Takeaway & ToneThe overall takeaway from the call is that Lowe's delivered resilient performance in Q4 2025 with positive comparable sales, driven by strength in its Pro, online, and home services segments, despite a challenging and volatile housing macro environment. The company is strategically focused on operational efficiency through its Perpetual Productivity Improvement (PPI) initiatives and expanding its 'Total Home' strategy, including the successful integration of recent acquisitions (FBM and ADG). Management is also actively embracing and deploying AI across various aspects of the business to enhance customer and associate experiences and drive productivity. The tone of the call was cautiously optimistic and confident, with management acknowledging external headwinds but expressing strong belief in their strategic investments and operational discipline to outperform the market and gain share in fiscal year 2026.	Prior Quarter'S Y/Y Growth By SegmentIn the third quarter of 2025, comparable sales increased 0.4%. Online sales grew 11.4%. Home services experienced double-digit growth. Pro sales showed continued growth, with one source indicating high single-digit growth.	3 Things Analysts Most Pressed On (And Mgmt Responses)1. Pro Extended Aisle efforts and incremental margins post-acquisitions: Analysts asked about the progress of the Pro Extended Aisle and the outlook for incremental margins after integrating acquisitions. Management responded that the Pro Extended Aisle is a multi-year build-out exceeding expectations, helping with planned Pro spend and expanding product assortments. Regarding incremental margins, they highlighted Q4 performance, $1 billion in productivity for 2026, and ongoing investments, noting a 30 basis point dilution from FBM/ADG in 2026. 2. Demand trends, impact of weather, and potential pickup in Q1/H1: Analysts questioned the underlying demand, the specific impact of winter storms Fern and Gianna on Q4 sales, and the potential for a sales pickup in the first half of 2026 following a tough winter. Management stated that winter storms positively impacted Q4 comp sales by approximately 50 basis points (200 basis points in January) and acknowledged prior year headwinds. They expressed satisfaction with underlying demand trends across all business areas and cautious optimism for spring, expecting to outperform the macro environment. 3. Impact of AI on home improvement: Analysts inquired about the broader implications of artificial intelligence for the home improvement sector and Lowe's deployment strategy. Management explained that AI is being leveraged to improve how they 'sell, shop, and work.' They cited examples such as the Mylow Companion (a virtual assistant for customers and associates, improving product knowledge and customer service, including in Spanish) and the Pro Companion tool for sales associates, emphasizing its role in driving productivity and enhancing customer and associate experiences.	Revenue SegmentsIn the fourth quarter of 2025, comparable sales increased 1.3%. Online sales grew 10.5%, and home services delivered high single-digit growth. The Pro segment achieved another quarter of growth. Qualitatively, Building Products saw broad-based growth, with continued strength in rough plumbing. Millwork, home decor (including kitchens and bath, paint, and appliances), paint, and hardlines (hardware, seasonal and outdoor living, and lawn and garden) all delivered positive comps or growth. The recent acquisitions of Foundation Building Materials (FBM) and Artisan Design Group (ADG) are expected to contribute approximately $8 billion to sales in fiscal year 2026, with organically low single-digit positive growth for these businesses.

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2026-08-19

About Expanding Eligible Market	About Competition	About The Broader Industry	Where Things Are Headed	Updates On Theme	Broader Themes Emerging	Bullish-Leaning Quotes (Short)	Bearish-Leaning Quotes (Short)
About Expanding Eligible MarketLowe's is expanding its market through the integration of Foundation Building Materials (FBM) and Artisan Design Group (ADG) to grow share with larger Pro customers. Online sales grew 15.7% due to investments in digital experience, expanded visualization, and the online marketplace. Home Services delivered growth by simplifying the Do-It-For-Me experience, especially for replacement projects. The company is expanding its assortment of premium appliances and outdoor furniture on Lowes.com and in year-round markets, and adding over 150 new DEWALT items and new 4-volt Kobalt lifestyle products. The rollout of pet and workwear to all stores is on track for year-end. The MyLowe's Rewards loyalty program now has over 30 million members who shop more frequently and spend more per visit.	About CompetitionLowe's observed heightened competitive pressures in July, primarily in seasonal categories like grills, patio, and live goods, where competitors used tariff refunds to aggressively lower prices. Lowe's chose not to match these promotions, believing them to be transitory and not financially prudent. The company differentiates itself with the fastest appliance fulfillment, offering next-day delivery and installation in virtually every U.S. ZIP code. Lowe's also strengthens its competitive position by adding leading brands like Traeger to its grilling lineup and offering a strong brand lineup in tools and hardware, including CRAFTSMAN and Kobalt.	About The Broader IndustryThe long-term fundamentals for home improvement remain intact, but the near-term is dynamic. Elevated fuel prices, broader economic uncertainty, interest rates, inflation, and gas prices continue to influence household budgets, leading customers to be cautious with discretionary spending. DIY demand remains under pressure. Elevated mortgage rates suppress new home construction and pressure larger Pros and homebuilders, with residential construction 'bumping along at multiyear lows.' Core Pro customers report steady backlogs but note homeowners are more cautious, leading to smaller repair and maintenance projects rather than larger remodels. John Burns Real Estate Consulting estimates $20 billion to $50 billion of pent-up deferred project demand in home improvement. Historically, the home improvement promotional environment is rational and predictable, and Lowe's believes the recent aggressive pricing is transitory.	Where Things Are HeadedLowe's updated its full-year 2026 financial outlook, expecting sales of approximately $92 billion with roughly flat comparable sales, adjusted operating margin of approximately 11.6%, and full-year adjusted diluted earnings per share of approximately $12.25. Capital expenditures are expected to be up to $2.5 billion. The outlook includes Q2 tariff benefits but excludes potential additional benefits in H2, and reflects continued pressure in residential construction for FBM and ADG. Q3 comp sales are expected to be in line with the full-year outlook, with adjusted diluted EPS approximately 7% below prior year. Lowe's aims to achieve a 2.75x leverage ratio target by mid-2027 and believes the housing market will recover gradually, benefiting from the oldest housing stock on record and customers living in homes for the longest duration.	Updates On ThemeU.S.	Broader Themes EmergingArtificial Intelligence (AI) is a significant emerging theme. Lowe's online AI agent, Mylow, has supported over 25 million questions from customers and associates, with online customers using Mylow converting at triple the rate of those who don't. Mylow also powers the associate AI companion application, enhancing associate confidence and customer service. The company reinforces that a well-designed 'agentic AI experience' can drive purchasing decisions and improve associate productivity.	Bullish-Leaning Quotes (Short)We delivered sales of $26 billion with comparable sales increasing 0.2%. Strong performance in Pro, Online and Home Services helped to offset persistent macro pressures. Online sales growth of 15.7% this quarter. The conversion rate for online customers who use Mylow is triple that of customers who do not use the tool. We delivered 5 consecutive quarters of positive comps. We delivered positive comp sales in 9 of our 13 merchandise divisions. We delivered our seventh consecutive quarter of positive comp sales growth in appliances. Lowe's can deliver and install the broadest selection of major appliances next day in virtually every U.S. ZIP code. This is truly the fastest fulfillment in home improvement. We have more than 30 million MyLowe's Rewards members who shop more frequently and spend more per visit than nonmembers. We're committed to operational discipline. Our longer-term goal is to take advantage of 14 million homes over the next decade. We don't think it's the new normal. We think it's transitory. We believe strongly that Lowe's is a significantly better company than it was pre-housing recession.	Bearish-Leaning Quotes (Short)Despite the heightened competitive landscape as competitors use tariff refunds to lower prices later in the quarter. Persistent macro pressures, softer DIY discretionary spend and the challenging weather during Memorial Day weekend. Discretionary DIY demand remains under pressure. Elevated fuel, transportation, energy and other input costs. Discretionary DIY spending remains under pressure and the K-shaped economy continues to shape consumer spending. Elevated rates more pronounced in residential construction, and we're seeing that suppress both new builds and near-term housing demand. Homeowner that is more cautious about their spending. This is leading to consistently smaller projects focused on repair and maintenance needs rather than larger remodeling jobs. For the third quarter, we expect adjusted diluted earnings per share to be approximately 7% below prior year adjusted diluted earnings per share. Challenging home improvement backdrop and soft DIY demand. Affordability remains kind of the major concern, and that's across rates, it's across home prices, insurance, taxes.

2026-05-20

About Expanding Eligible Market	About Competition	About The Broader Industry	Where Things Are Headed	Updates On Theme	Broader Themes Emerging	Bullish-Leaning Quotes (Short)	Bearish-Leaning Quotes (Short)	Hiring
About Expanding Eligible MarketLowe's is expanding its market through continued growth in Pro, Online, and Home Services, driven by its Total Home strategy. The company launched HomeCare+, a first-of-its-kind subscription service for routine home maintenance, exclusively for MyLowe's Rewards members. Acquisitions of FBM and ADG are on track to capitalize on the future recovery of the residential homebuilding market, providing an interior solutions platform for builders. The national rollout of workwear and pet assortments to all stores is expected to be completed by the end of the year. The Pro Extended Aisle initiative continues to add suppliers and capabilities, and the company is rolling out Daltile into its flooring department.	About CompetitionLowe's maintains momentum in its Pro segment with a competitive assortment of national brands, consistent strong in-stock positions, and outstanding service levels. The company differentiates its loyalty experience by offering free same-day delivery for purchases over $25 for MyLowe's Rewards and MyLowe's Pro Rewards members. Lowe's is positioned as the destination for urgent appliance replacement purchases, being the only retailer that can deliver and install major appliances next day in virtually every ZIP Code in the U.S. They also offer exclusive brands like Pella, Therma-Tru, and Larson in the home center channel for windows and doors, and an industry-leading lineup of outdoor power equipment brands.	About The Broader IndustryThe DIY demand remains under pressure within a challenging housing environment characterized by elevated interest rates, higher costs, and low housing turnover. The broader home improvement market is expected to remain flat in 2026. The industry faces a critical challenge with a growing need for skilled labor, which Lowe's is addressing through a $250 million investment by the Lowe's Foundation to train approximately 250,000 individuals. The macro environment has introduced new risks and uncertainties, with immediate impacts from oil prices pressuring fuel and commodity-based products like resin and plastics. Consumer spending is described as a 'K-shape economy,' where higher-income consumers are spending on innovation and home modernization, while lower-income consumers are more cautious.	Where Things Are HeadedLowe's is affirming its fiscal 2026 outlook, expecting sales in the range of $92 billion to $94 billion, comparable sales flat to up 2%, adjusted operating margin between 11.6% and 11.8%, and adjusted diluted earnings per share of approximately $12.25 to $12.75. Capital expenditures are expected to be up to $2.5 billion. Second-quarter comparable sales are anticipated to be roughly in line with the midpoint of the full-year guide, but adjusted operating margins will be pressured by acquisitions, sales-driving actions, and higher transportation costs. Second-quarter adjusted diluted earnings per share are expected to be approximately 2% below the prior year. The company expects transactions to continue to improve in the second half, centered in repair and maintenance categories, and is confident in its ability to take market share and deliver meaningful upside as macro conditions normalize.	Updates On ThemeHome	Broader Themes EmergingArtificial Intelligence (AI) is a significant emerging theme. Lowe's is leveraging AI through Mylow, an AI-powered shopping assistant for customers, and Mylow Companion, an AI-powered tool for associates, both built on an open AI platform. Mylow adoption has scaled meaningfully, supporting over 1 million customer inquiries each month, with a conversion rate for users triple that of non-users. Mylow Companion has seen over 5 million questions asked by associates, reflecting strong adoption and improved customer satisfaction. AI is also being used to convert Pro materials lists from various formats into actionable quotes, reducing processing time from days to minutes, and by the tech team for development and code review, resulting in double-digit productivity gains. The skilled trades workforce gap is another broader theme, with Lowe's investing $250 million to train 250,000 individuals to address this industry-wide need.	Bullish-Leaning Quotes (Short)Our results were driven by strong spring execution, along with continued strength in Pro, Appliances, Online and Home Services. The conversion rate for online customers who use Mylow is triple that of customers who do not use the tool. We believe Lowe's is well positioned not only to perform in this environment but to deliver meaningful upside as macro conditions normalize. We delivered positive comp sales for the fourth consecutive quarter. We're the only retailer that can deliver and install major appliances next day in virtually every ZIP Code in the U.S. We've delivered 4 quarters of positive comp in an environment where the DIY face more economic pressure than I've ever seen before. This team has proven the ability to effectively manage through that here in the past multiple inflationary cycles. We plan to take share this quarter, we plan to take share for the back half of the year.	Bearish-Leaning Quotes (Short)DIY demand remains under pressure. Challenging housing environment shaped by elevated interest rates, higher cost, and low housing turnover. We expect the broader market to remain flat in 2026. The pressure that you're continuing to see is really around the DIY. This has been the most difficult housing market that I have faced in this business since the financial crisis. Our core Pro customers indicated their backlogs are generally stable, but they have concerns about the growing costs associated with labor as they continue to navigate a constrained labor market. Q2 adjusted operating margins to be pressured from: the impact of acquisitions... investments in our sales driving actions... and near-term pressure from higher transportation costs. Q2 adjusted diluted earnings per share to be approximately 2% below prior year. The lower income consumer is a little bit more cautious and a little bit more uncertain.	HiringThe Lowe's Foundation recently announced a $250 million investment to help train and develop the next generation of skilled trades people, aiming to support approximately 250,000 individuals to address the growing need for skilled labor across the industry and beyond. Pro customers have concerns about the growing costs associated with labor as they continue to navigate a constrained labor market and report difficulty in hiring trained workers to fill out their crews. AI-enabled tools like Mylow Companion are making it easier for associates to deliver a better customer experience while driving productivity. The company also recognized more than 26,000 military members and spouses who are Lowe's associates.

2026-05-20

About Expanding Eligible Market	About Competition	About The Broader Industry	Where Things Are Headed	Updates On Theme	Broader Themes Emerging	Bullish-Leaning Quotes (Short)	Bearish-Leaning Quotes (Short)	Hiring
About Expanding Eligible MarketLowe's Total Home strategy is positioning the company for short- and long-term market share gains through continued growth in Pro, Online, and Home Services. The company launched HomeCare+, a first-of-its-kind subscription service for routine home maintenance, exclusively for MyLowe's Rewards members. Acquisitions of FBM and ADG are on track to capitalize on the future recovery of the residential homebuilding market, providing an interior solutions platform for builders. The national rollout of workwear and pet assortments to all stores is expected to be completed by the end of the year. The Pro Extended Aisle initiative continues to add suppliers and capabilities, and Lowe's is rolling out Daltile into its flooring department.	About CompetitionLowe's maintains momentum in its Pro segment with a competitive assortment of national brands, consistent strong in-stock positions, and outstanding service levels. The company differentiates its loyalty experience by offering free same-day delivery for purchases over $25 for MyLowe's Rewards and MyLowe's Pro Rewards members. Lowe's is positioned as the destination for urgent appliance replacement purchases, being the only retailer that can deliver and install major appliances next day in virtually every ZIP Code in the U.S. They also offer exclusive brands like Pella, Therma-Tru, and Larson in the home center channel for windows and doors, and an industry-leading lineup of outdoor power equipment brands.	About The Broader IndustryDIY demand remains under pressure within a challenging housing environment characterized by elevated interest rates, higher costs, and low housing turnover. The broader home improvement market is expected to remain flat in 2026. The industry faces a critical challenge with a growing need for skilled labor, which Lowe's is addressing through a $250 million investment by the Lowe's Foundation to train approximately 250,000 individuals. The macro environment has introduced new risks and uncertainties, with immediate impacts from oil prices pressuring fuel and commodity-based products like resin and plastics. Consumer spending is described as a 'K-shape economy,' where higher-income consumers are spending on innovation and home modernization, while lower-income consumers are more cautious.	Where Things Are HeadedLowe's is affirming its fiscal 2026 outlook, expecting sales in the range of $92 billion to $94 billion, with comparable sales in a range of flat to up 2%. Adjusted operating margin is anticipated to be between 11.6% and 11.8%, and full-year adjusted diluted earnings per share are projected to be approximately $12.25 to $12.75. Capital expenditures are expected to be up to $2.5 billion. Second-quarter comparable sales are anticipated to be roughly in line with the midpoint of the full-year guide, but adjusted operating margins will be pressured by acquisitions, sales-driving actions, and higher transportation costs. Second-quarter adjusted diluted earnings per share are expected to be approximately 2% below the prior year. The company expects transactions to continue to improve in the second half, centered in repair and maintenance categories, and is confident in its ability to take market share and deliver meaningful upside as macro conditions normalize.	Updates On ThemeHome	Broader Themes EmergingArtificial Intelligence (AI) is a significant emerging theme. Lowe's is leveraging AI through Mylow, an AI-powered shopping assistant for customers, and Mylow Companion, an AI-powered tool for associates, both built on an open AI platform. Mylow adoption has scaled meaningfully, supporting over 1 million customer inquiries each month, with a conversion rate for users triple that of non-users. Mylow Companion has seen over 5 million questions asked by associates, reflecting strong adoption and improved customer satisfaction. AI is also being used to convert Pro materials lists from various formats into actionable quotes, reducing processing time from days to minutes, and by the tech team for development and code review, resulting in double-digit productivity gains. The skilled trades workforce gap is another broader theme, with Lowe's investing $250 million to train 250,000 individuals to address this industry-wide need. The 'K-shape economy' is also noted as a broader theme in consumer spending.	Bullish-Leaning Quotes (Short)Our results were driven by strong spring execution, along with continued strength in Pro, Appliances, Online and Home Services. The conversion rate for online customers who use Mylow is triple that of customers who do not use the tool. We believe Lowe's is well positioned not only to perform in this environment but to deliver meaningful upside as macro conditions normalize. We delivered positive comp sales for the fourth consecutive quarter. We're the only retailer that can deliver and install major appliances next day in virtually every ZIP Code in the U.S. We've delivered 4 quarters of positive comp in an environment where the DIY face more economic pressure than I've ever seen before. This team has proven the ability to effectively manage through that here in the past multiple inflationary cycles. We plan to take share this quarter, we plan to take share for the back half of the year.	Bearish-Leaning Quotes (Short)DIY demand remains under pressure. Challenging housing environment shaped by elevated interest rates, higher cost, and low housing turnover. We expect the broader market to remain flat in 2026. The pressure that you're continuing to see is really around the DIY. This has been the most difficult housing market that I have faced in this business since the financial crisis. Our core Pro customers indicated their backlogs are generally stable, but they have concerns about the growing costs associated with labor as they continue to navigate a constrained labor market. Q2 adjusted operating margins to be pressured from: the impact of acquisitions... investments in our sales driving actions... and near-term pressure from higher transportation costs. Q2 adjusted diluted earnings per share to be approximately 2% below prior year. The lower income consumer is a little bit more cautious and a little bit more uncertain.	HiringThe Lowe's Foundation recently announced a $250 million investment to help train and develop the next generation of skilled trades people, aiming to support approximately 250,000 individuals to address the growing need for skilled labor across the industry and beyond. Pro customers are experiencing difficulty in hiring trained workers to fill out their crews. AI is also making existing associates more effective in their current jobs.

2026-02-25

About Expanding Eligible Market	About Competition	About The Broader Industry	Where Things Are Headed	Updates On Theme	Broader Themes Emerging	Bullish-Leaning Quotes (Short)	Bearish-Leaning Quotes (Short)	Hiring
About Expanding Eligible MarketLowe's is expanding its Pro brand offering by carrying the largest selection of DEWALT power tools and accessories in stores and online. The recent acquisitions of Foundation Building Materials (FBM) and Artisan Design Group (ADG) position Lowe's to participate in the expected recovery in housing, with plans to develop cross-selling opportunities and provide home builders with a comprehensive interior solutions platform including doors, windows, ceiling systems, insulation, appliances, cabinets, and countertops. The company completed the rollout of pet and workwear to over 1,000 stores and plans to expand these convenience items to the remaining stores in 2026. Lowe's is also expanding its Pro sales force to reach new customers and grow share of wallet with existing Pros. The Pro Extended Aisle initiative is exceeding expectations by adding new suppliers and markets weekly, creating more traction with planned Pro spend for products like vinyl siding, building materials, doors, flooring, and electrical wiring. Additionally, Lowe's is now the exclusive national home improvement partner to the National Association of Home Builders (NAHB), connecting with over 140,000 Pros and offering member-only savings.	About CompetitionLowe's is confident that its investments position the company to outperform the market and take share against competitors. The company highlights its unique competitive advantage as the only retailer that can deliver and install major appliances next day in virtually every zip code in the U.S. Lowe's has also secured exclusive offerings, such as being the first big box retailer to offer TOTO's innovative toilets in the Home Center channel. The new Sherwin-Williams ProBlock Quick Dry Primers are driving double-digit Pro comps in Q4 due to superior quality and performance versus the competition. Lowe's also boasts an unmatched outdoor power equipment lineup in the home center channel, offering exclusive brands like Toro (gas-powered) and EGO (battery-powered).	About The Broader IndustryThe home improvement industry faces a challenging backdrop with subdued consumer confidence due to inflationary pressures and overall economic uncertainty. Elevated mortgage rates and a persistent 'lock-in effect' continue to pressure housing turnover and new home starts, leading to expectations of gradual improvement in housing and home improvement markets. Despite these near-term headwinds, structural demand drivers remain strong, with home equity at record levels and homes averaging 44 years old. Analysts anticipate a need for approximately 16 million new homes in the U.S. over the next decade due to a chronic supply-demand imbalance. The home improvement market is forecasted to be roughly flat in 2026, ranging from down 1% to up 1%. The tariff policy is fluid, and Lowe's is continuously reviewing new rules and executing its global sourcing playbook.	Where Things Are HeadedLowe's outlook for 2026 remains cautious due to persistent volatility in the housing macro, which continues to pressure big-ticket discretionary DIY projects. The company expects improvement in housing and home improvement markets to be gradual. Lowe's is committed to its perpetual productivity improvement (PPI) initiatives, targeting roughly $1 billion in productivity for 2026, which will offset cost pressures and fund strategic investments. The company forecasts 2026 sales ranging from $92 billion to $94 billion, with comparable sales in a range of flat to up 2%. FBM and ADG are expected to contribute approximately $8 billion to sales. Operating margin is anticipated to be between 11.2% and 11.4%, with adjusted operating margin between 11.6% and 11.8%, including a 30 basis point dilution from the acquisitions. Gross margin is expected to decline by approximately 75 basis points due to acquisition dilution. Adjusted diluted earnings per share are projected to be $12.25 to $12.75. Capital expenditures are expected to be around $2.5 billion, heavily concentrated in the retail business. Q1 2026 comparable sales are expected to be below the midpoint of the full-year guide, and adjusted operating margin rate approximately 20 basis points below the bottom end of the full-year guide due to acquisition dilution. Growth in the first half of 2026 is expected to be weighted towards ticket, with transaction trends improving in the second half as tariff price increases are cycled. Lowe's is also embracing AI to improve how it sells, shops, and works, collaborating with leading digital platforms for Agentic commerce.	Updates On ThemeHome	Broader Themes EmergingAI (Artificial Intelligence) is a significant emerging theme. Lowe's is actively integrating AI to improve how it sells, shops, and works. Examples include the Mylow Companion virtual assistant for customers and associates (built on OpenAI, learning with interactions, now in Spanish, showing dramatic improvements in customer service and online conversion rates), an AI-enabled Pro Companion tool for sales associates, AI tools for merchants to optimize product assortments and drive sales, and AI-enabled technology for stores to identify and prioritize out-of-stocks for full shelf replenishment. The tech team is also using AI for development and code review, seeing double-digit productivity gains and increased speed to market. Lowe's is also collaborating with leading digital platforms to participate in Agentic commerce.	Bullish-Leaning Quotes (Short)Our total home strategic initiatives are resonating with our small to medium Pro and DIY customers alike. We delivered a 10.5% growth this quarter and set new sales records this holiday season on both Black Friday and Cyber Monday. Our Lowe's app was so popular that it was the #1 free app in the shopping category on Apple's App Store in the U.S. The structural demand drivers of the home improvement industry remain strong with home equity setting new record levels and homes continuing to age, averaging 44 years old. We're confident that these investments position the company to outperform the market, regardless of macro conditions. We're pleased with FBM's commercial business, which represents roughly half of its revenue, as they continue to win new data center contracts. Lowe's was recently recognized as Fortune's #1 most admired specialty retailer. We delivered positive comps in 9 of our 14 merchandising divisions. Lowe's remains the only retailer that can deliver and install major appliances next day in virtually every zip code in the U.S. We are building on our momentum by expanding our Pro sales force. Lowe's is now the exclusive national home improvement partner to the National Association of Home Builders. We are generating $1 billion incrementally in productivity for 2026. We will outperform the macro. We will take share. We took share in the fourth quarter. We took share in the third quarter. We'll take share in 2026. We've seen dramatic improvements in customer service in a 200 basis points range in our stores where associates are adopting this, and we're seeing our conversion rates online roughly double when customers engage with Mylow.	Bearish-Leaning Quotes (Short)Our outlook for 2026 remains cautious given the persistent volatility in housing macro. This uncertainty continues to pressure big-ticket discretionary DIY projects as many consumers are reluctant to make significant investments in their homes. Consumer confidence remains subdued given inflationary pressures and overall economic uncertainty. Mortgage rates remain elevated. As a result, a persistent lock-in effect remains in place keeping housing turnover and new home stars under pressure. We expect improvement in both the housing and home improvement markets to be gradual. While FBM and ADG are navigating a challenging residential construction market. We forecast the home improvement market to be roughly flat this year in a range of down 1% to up 1%. Consumers are still cautious about discretionary big-ticket purchases. It is unclear how much of that [tax refunds] will be spent on home improvement. Q1 comp sales to be below the midpoint of our full-year guide. Adjusted operating margin rate is expected to be approximately 20 basis points below the bottom end of our full-year guide due to the dilutive impact of the acquisitions. The tariff policy is fluid.	HiringLowe's recently eliminated approximately 600 corporate and support roles to create greater financial agility. However, the company is expanding its Pro sales force and continuing to invest in customer-facing areas.

Notes2 rows

Date	Comment	Comment Type	Comment Sentiment	Link	Price Reaction
2026-05-20	Lowe's Q1 2026 earnings surpassed estimates with 0.6% comparable sales growth, driven by strong Pro and Online performance. Despite the beat, the stock declined around 1-3%, reflecting investor caution. The market's tempered reaction stemmed from projected Q2 operating margin pressure due to acquisitions and higher transportation costs, alongside persistent DIY market weakness, aligning with existing concerns about the challenging macro environment.	Earnings Transcript	Neutral	https://vertexaisearch.cloud.google.com/grounding-api-redirect/AUZIYQFa7DeB1TV5Wg1RMPXHbm_gIG9ondnaifGGUdcPTV-8V9uPKCKx3AJ_CvAlj2s2kMyeTHW2Q2aImW76PE37UK65gRt2NlB9k3Lh_Cq8do1rT0nWAJ8iRnNT6Gfc0a42rrDekaiKmJ1X9WGrK0f7k1ri07TKz5H6p_ubMphVYKBIenI_DpY7B6CegCPZ5wy2K2DHgKP8VTe_w0RCjT11D5AE5Wlm3I0IBhTuCh5BLoLS3LeFIoQIArXU	N/A
2026-08-19	Lowe's Q2 comparable sales rose 0.2%, driven by strong Pro, Online, and Home Services, offsetting soft DIY demand. Management lowered full-year guidance, expecting Q3 EPS to decline 7% due to residential construction pressure and transitory competitive pricing. Despite this, the stock outperformed SPY by 1.42% (0.79% vs -0.63%) in the T+2 period, suggesting the market found the results and outlook relatively resilient.	Earnings Transcript	Neutral		+0.79% (vs SPY: +1.42%)

Upcoming Events5 rows

Catalyst ID	Estimated Timing	Estimated Date Start	Estimated Date End	Catalyst	Why It Matters	Ticker Or Theme Specific	Transcript Date	Source Type
LOW_ac14712a	over the next 3 to 4 months	2026-08-20	2026-09-20	Distribution of approximately $50 billion in remaining tax refunds to consumers.	This influx of funds could stimulate consumer spending, particularly among higher-income households, potentially boosting Lowe's sales in Q3. Bullish.	Theme	2026-05-20	earnings_transcript
LOW_c9e20d9d	by the end of the year	2026-10-01	2026-12-31	Completion of the national rollout of workwear and pet assortments to all Lowe's stores.	Successful completion and customer adoption of these expanded categories could drive incremental sales and market share gains, contributing to overall comparable sales growth.	Ticker	2026-05-20	earnings_transcript
LOW_126bac0a	any potential HELOC activity that's unlocked	2026-07-01	2027-05-20	Increased Home Equity Line of Credit (HELOC) activity by consumers.	Unlocking HELOCs could provide consumers with funds for home improvement projects, boosting discretionary DIY spending and contributing to Lowe's sales growth.	Theme	2026-05-20	earnings_transcript
LOW_9423c28a	Q2... actively working to offset through productivity initiatives in the back half of the year	2026-05-01	2026-12-31	Success of Lowe's initiatives (e.g., PPI, adjusting contracts) to offset rising transportation and commodity costs.	Effective mitigation is crucial to protect adjusted operating margins, which are expected to be pressured in Q2, and to achieve full-year profitability targets.	Ticker	2026-05-20	earnings_transcript
LOW_b8edb194	in the second half of the year, expecting new news as it relates to 301	2026-07-01	2026-12-31	Announcement or changes related to Section 301 tariffs.	Tariff changes can impact product costs, pricing strategies, and supply chain, potentially affecting gross margins and consumer demand for certain products.	Theme	2026-05-20	earnings_transcript