Feb. 25 at 4:44 PM
Lowe's Companies Inc. fell 4.9 % to
$265.67 despite beating Q4 expectations, as weak full-year guidance overshadowed the results. The S&P 500 rose 0.6% ahead of earnings from Nvidia Corporation .
Lowe’s posted Q4 adjusted EPS of
$1.98 on
$20.6 billion in sales, topping estimates of
$1.94 and
$20.3 billion. Same-store sales rose 1.3%, beating expectations and ahead of Home Depot Inc. , which reported a 0.4% gain.
However, Lowe’s guided FY adjusted EPS to
$12.25–
$12.75 and sales to
$92–
$94 billion, both below consensus at the midpoint. CEO Marvin Ellison cited elevated mortgage rates and a persistent housing “lock-in effect,” signaling gradual improvement in housing and home improvement demand.
The company expects flat market growth this year (–1% to +1%). With Lowe’s stock up 16% YTD versus Home Depot’s 13% gain, investors had priced in stronger momentum, contributing to the pullback.
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