Head-To-Head Survey: Lowe’s Companies (LOW) & Its Competitors

Lowe’s Companies (NYSE:LOW – Get Free Report) is one of 14 public companies in the “RETAIL – HOME FRN” industry, but how does it compare to its competitors? We will compare Lowe’s Companies to similar companies based on the strength of its risk, dividends, profitability, institutional ownership, valuation, earnings and analyst recommendations.

Insider & Institutional Ownership

74.1% of Lowe’s Companies shares are owned by institutional investors. Comparatively, 67.1% of shares of all “RETAIL – HOME FRN” companies are owned by institutional investors. 0.3% of Lowe’s Companies shares are owned by company insiders. Comparatively, 5.2% of shares of all “RETAIL – HOME FRN” companies are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Dividends

Lowe’s Companies pays an annual dividend of $4.60 per share and has a dividend yield of 2.1%. Lowe’s Companies pays out 38.1% of its earnings in the form of a dividend. As a group, “RETAIL – HOME FRN” companies pay a dividend yield of 2.5% and pay out 49.0% of their earnings in the form of a dividend. Lowe’s Companies has raised its dividend for 53 consecutive years.

Profitability

This table compares Lowe’s Companies and its competitors’ net margins, return on equity and return on assets.

Valuation and Earnings

This table compares Lowe’s Companies and its competitors top-line revenue, earnings per share (EPS) and valuation.

Lowe’s Companies has higher revenue and earnings than its competitors. Lowe’s Companies is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Risk & Volatility

Lowe’s Companies has a beta of 0.92, meaning that its stock price is 8% less volatile than the S&P 500. Comparatively, Lowe’s Companies’ competitors have a beta of 1.48, meaning that their average stock price is 48% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of current ratings and price targets for Lowe’s Companies and its competitors, as reported by MarketBeat.

Lowe’s Companies presently has a consensus price target of $271.12, suggesting a potential upside of 23.03%. As a group, “RETAIL – HOME FRN” companies have a potential upside of 19.58%. Given Lowe’s Companies’ stronger consensus rating and higher possible upside, research analysts clearly believe Lowe’s Companies is more favorable than its competitors.

Summary

Lowe’s Companies beats its competitors on 10 of the 15 factors compared.

Lowe’s Companies Company Profile

(Get Free Report)

Lowe’s Companies, Inc., together with its subsidiaries, operates as a home improvement retailer in the United States. The company offers a line of products for construction, maintenance, repair, remodeling, and decorating. It also provides home improvement products, such as appliances, seasonal and outdoor living, lawn and garden, lumber, kitchens and bath, tools, paint, millwork, hardware, flooring, rough plumbing, building materials, décor, and electrical. In addition, the company offers installation services through independent contractors in various product categories; and extended protection plans and repair services. It sells its national brand-name merchandise and private brand products to professional customers, homeowners, renters, businesses, and government. The company also sells its products through Lowes.com website; and through mobile applications. Lowe’s Companies, Inc. was founded in 1921 and is based in Mooresville, North Carolina.