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Last week, Home Depot (HD) - Get Home Depot Inc. (The) Report beat on top and bottom-line earnings estimates. Although the stock has struggled to move higher in that time, investors are hoping Lowe's (LOW) - Get Lowe's Companies Inc. Report can also report a good result when it releases its quarterly results on Wednesday before the bell.

"Lowe's should be good," TheStreet's Jim Cramer, manager of the Action Alerts PLUS portfolio, said from the floor of the New York Stock Exchange Tuesday.

Here's what matters: Consumers have better, more dependable jobs. They have equity in their homes and they view upgrades as an investment, not a cost, Cramer reasoned.

For those reasons alone, earnings should be good.

Cramer lamented about a recent experience at Lowe's, though. While the garden center was beautiful, the lines were too long. Hopefully store management is able to better optimize the busy spring shopping season for the company. 

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With that said, though, earnings should still be good and Lowe's should have a good quarter, he concluded.

Analysts expect Lowe's to earn $1.06 per share on $16.96 billion in revenue for the most recent quarter.

Cramer also talks about oversold retail stocks on Real Money. Get his insights or analysis with a free trial subscription.

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At the time of publication, Cramer's Action Alerts PLUS had no position in any companies mentioned.