Lowe's Companies (LOW) Leads The Pack In Pre-Market Activity
Trade-Ideas LLC identified
(
) as a pre-market leader candidate. In addition to specific proprietary factors, Trade-Ideas identified Lowe's Companies as such a stock due to the following factors:
- LOW has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $374.7 million.
- LOW traded 17,358 shares today in the pre-market hours as of 7:44 AM.
- LOW is up 2% today from yesterday's close.
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More details on LOW:
Lowe's Companies, Inc. operates as a home improvement retailer. It offers products for home maintenance, repair, remodeling, and decorating. The stock currently has a dividend yield of 1.5%. LOW has a PE ratio of 27. Currently there are 12 analysts that rate Lowe's Companies a buy, no analysts rate it a sell, and 4 rate it a hold.
The average volume for Lowe's Companies has been 4.7 million shares per day over the past 30 days. Lowe's Companies has a market cap of $67.3 billion and is part of the services sector and retail industry. The stock has a beta of 1.12 and a short float of 1% with 1.80 days to cover. Shares are up 1.3% year-to-date as of the close of trading on Monday.
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Analysis:
rates Lowe's Companies as a
. The company's strengths can be seen in multiple areas, such as its revenue growth, notable return on equity and solid stock price performance. We feel its strengths outweigh the fact that the company has had sub par growth in net income.
Highlights from the ratings report include:
- Despite its growing revenue, the company underperformed as compared with the industry average of 11.5%. Since the same quarter one year prior, revenues slightly increased by 5.5%. This growth in revenue does not appear to have trickled down to the company's bottom line, displayed by a decline in earnings per share.
- LOWE'S COMPANIES INC has experienced a steep decline in earnings per share in the most recent quarter in comparison to its performance from the same quarter a year ago. Stable earnings per share over the past year indicate the company has sound management over its earnings and share float. We anticipate these figures will begin to experience more growth in the coming year. During the past fiscal year, LOWE'S COMPANIES INC increased its bottom line by earning $2.71 versus $2.70 in the prior year. This year, the market expects an improvement in earnings ($4.00 versus $2.71).
- Current return on equity exceeded its ROE from the same quarter one year prior. This is a clear sign of strength within the company. In comparison to other companies in the Specialty Retail industry and the overall market on the basis of return on equity, LOWE'S COMPANIES INC has underperformed in comparison with the industry average, but has greatly exceeded that of the S&P 500.
- After a year of stock price fluctuations, the net result is that LOW's price has not changed very much. Although its weak earnings growth may have played a role in this flat result, don't lose sight of the fact that the performance of the overall market, as measured by the S&P 500 Index, was essentially similar. Looking ahead, the stock's rise over the last year has already helped drive it to a level which is relatively expensive compared to the rest of its industry. We feel, however, that the other strengths this company displays justify these higher price levels.
- The gross profit margin for LOWE'S COMPANIES INC is currently lower than what is desirable, coming in at 34.66%. LOW has continued with the weak profit margin when compared to the same quarter of last year. Despite the mixed results of the gross profit margin, the net profit margin of 0.08% trails the industry average.
- You can view the full Lowe's Companies Ratings Report.
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