NEW YORK (TheStreet) -- Shares of Lowe's (LOW) - Get Report were declining in midday trading on Monday as Piper Jaffray reduced its rating on the stock to "neutral" from "overweight."

The firm also lowered its price target to $68 from $94 on shares of the Mooresville, NC-based home improvement retailer.

The downgrade comes after the firm's semi-annual homeowner survey indicated continued moderation in remodel spending.

Additionally, four different remodel suppliers last week reported "relatively disappointing" results and Piper sees tough comparisons for Lowe's in the next two quarters. That likely limits interest in the stock for the next 6 to 7 months, according to the firm.

There are also heightened concerns of promotional intensity in the space, Piper noted.

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"While tough to read into, the sudden departure of Chief Customer Officer, Mike Jones, is a bit of a yellow flag. We note valuation and expectations have come down meaningfully on LOW in recent weeks. Our call is less around Q3, and more on an inability to recommend investors buy shares into 2017 on what we see as a decelerating comp and EPS growth trend," the firm wrote in an analyst note.

Piper also downgradedHome Depot (HD) stock this morning.

Separately, TheStreet Ratings Team has a "Buy" rating with a score of B on Lowe's stock.

The company's strengths can be seen in multiple areas, such as its growth in earnings per share, revenue growth, notable return on equity and increase in net income. The team believes its strengths outweigh the fact that the company has had lackluster performance in the stock itself.

Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.

You can view the full analysis from the report here: LOW

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