Lowe's Companies Inc.
Find Ratings ReportsLOWE'S COS INC's gross profit margin for the fourth quarter of its fiscal year 2023 is essentially unchanged when compared to the same period a year ago. Even though sales decreased, the net income has increased. LOWE'S COS INC has very weak liquidity. Currently, the Quick Ratio is 0.08 which clearly shows a lack of ability to cover short-term cash needs. The company's liquidity has decreased from the same period last year.
During the same period, stockholders' equity ("net worth") has decreased by 5.58% from the same quarter last year. The key liquidity measurements indicate that the company is in a position in which financial difficulties could develop in the near future.
STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. To learn more visit www.TheStreetRatings.com.
Income Statement | Q4 FY23 | Q4 FY22 |
---|---|---|
Net Sales ($mil) | 18602.0 | 22445.0 |
EBITDA ($mil) | 2130.0 | 2565.0 |
EBIT ($mil) | 1688.0 | 2144.0 |
Net Income ($mil) | 1020.0 | 958.0 |
Balance Sheet | Q4 FY23 | Q4 FY22 |
---|---|---|
Cash & Equiv. ($mil) | 1228.0 | 1732.0 |
Total Assets ($mil) | 41795.0 | 43708.0 |
Total Debt ($mil) | 40145.0 | 37994.0 |
Equity ($mil) | -15050.0 | -14254.0 |
Profitability | Q4 FY23 | Q4 FY22 |
---|---|---|
Gross Profit Margin | 32.4 | 32.33 |
EBITDA Margin | 11.45 | 11.42 |
Operating Margin | 9.07 | 9.55 |
Sales Turnover | 2.07 | 2.22 |
Return on Assets | 18.48 | 14.72 |
Return on Equity | 0.0 | 0.0 |
Debt | Q4 FY23 | Q4 FY22 |
---|---|---|
Current Ratio | 1.23 | 1.1 |
Debt/Capital | 1.6 | 1.6 |
Interest Expense | 0.0 | 338.0 |
Interest Coverage | 0.0 | 6.34 |
Share Data | Q4 FY23 | Q4 FY22 |
---|---|---|
Shares outstanding (mil) | 574.0 | 601.0 |
Div / share | 1.1 | 1.05 |
EPS | 1.77 | 1.58 |
Book value / share | -26.22 | -23.72 |
Institutional Own % | n/a | n/a |
Avg Daily Volume | 2658638.0 | 2969052.0 |
HOLD. This stock's P/E ratio indicates a discount compared to an average of 23.88 for the Building Material, Garden Equipment, Supplies Deal subsector and a discount compared to the S&P 500 average of 27.95. Normally, for additional comaprison, we would look at the price-to-book ratio; however, this company's price-to-book ratio is negative making the value useless for comparisons. The price-to-sales ratio is well below both the S&P 500 average and the subsector average, indicating a discount. After reviewing these and other key valuation criteria, LOWE'S COS INC proves to trade at a discount to investment alternatives.
Price/Earnings |
|
Price/Cash Flow |
| |||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
LOW 18.59 | Peers 23.88 | LOW 17.25 | Peers 17.55 | |||||||||||||||||||||
Discount. A lower P/E ratio than its peers can signify a less expensive stock or lower growth expectations. LOW is trading at a discount to its peers. |
Average. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures. LOW is trading at a valuation on par to its peers. |
|||||||||||||||||||||||
Price/Projected Earnings |
|
Price to Earnings/Growth |
|
|||||||||||||||||||||
LOW 18.12 | Peers 22.27 | LOW NM | Peers 19.88 | |||||||||||||||||||||
Average. An average price-to-projected earnings ratio can signify an subsector neutral stock price and average future growth expectations. LOW is trading at a valuation on par with its peers. |
Neutral. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples. LOW's negative PEG ratio makes this valuation measure meaningless. |
|||||||||||||||||||||||
Price/Book |
|
Earnings Growth |
|
|||||||||||||||||||||
LOW NM | Peers 345.33 | LOW 31.46 | Peers 1.73 | |||||||||||||||||||||
Neutral. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet. LOW's P/B is negative making this valuation measure meaningless. |
Higher. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios. LOW is expected to have an earnings growth rate that significantly exceeds its peers. |
|||||||||||||||||||||||
Price/Sales |
|
Sales Growth |
|
|||||||||||||||||||||
LOW 1.63 | Peers 2.22 | LOW -11.01 | Peers -4.92 | |||||||||||||||||||||
Discount. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales. LOW is trading at a significant discount to its subsector on this measurement. |
Lower. A sales growth rate that trails the subsector implies that a company is losing market share. LOW significantly trails its peers on the basis of sales growth. |
|||||||||||||||||||||||