Oil prices hold sharp losses with focus on secondary India tariffs
Investing.com - Truist Securities has reiterated a Buy rating and $264.00 price target on Lowe’s (NYSE:LOW) following the company’s second-quarter earnings report. With the stock currently trading at $257.27 and analyst targets ranging from $207 to $305, InvestingPro analysis suggests the stock is currently overvalued based on its proprietary Fair Value model.
The home improvement retailer, with $83.24 billion in revenue and a robust gross profit margin of 33.36%, reported sales in line with recent revisions, while margins performed better than expected, resulting in earnings that exceeded forecasts for the quarter.
Despite concerns that Lowe’s might lower its second-half guidance, the company maintained its full-year projections, supported by a strong second-quarter exit rate and robust margin performance.
Lowe’s also announced the acquisition of Foundation Building Materials (NYSE:FBM), a growing building materials distributor, for $8.8 billion, representing 13.4 times adjusted EBITDA. The transaction is expected to be accretive in its first full year.
Truist Securities remains bullish on Lowe’s stock, citing modest improvements in the core business, a positive medium to long-term industry outlook, and the total addressable market expansion that Foundation Building Materials should provide.
In other recent news, Lowe’s Companies Inc. reported its second-quarter 2025 earnings, exceeding analysts’ expectations with an adjusted earnings per share (EPS) of $4.33, compared to the forecasted $4.24. Revenue for the quarter aligned with predictions, coming in at $23.96 billion. Additionally, the company maintained its full-year guidance, underscoring its stable outlook in the home improvement sector. These developments reflect significant investor interest. The earnings beat and steady guidance highlight Lowe’s operational strength and market position. Analysts from various firms noted the company’s performance, though specific upgrades or downgrades were not mentioned in the recent reports. Investors may find these results indicative of Lowe’s current trajectory in the industry.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.