| Stock Ticker | Home Page | Asset Class | Sector | Industry | Investment Strategy | Dividend Frequency | Geographic Focus |
|---|---|---|---|---|---|---|---|
| LOW | Lowe's Companies Inc. | Stock / Equity | Consumer Cyclical | Home Improvement Retail | Growth | Quarterly | United States |
Lowe's Companies, Inc. (LOW) is a prominent home improvement retailer, catering to homeowners and professionals alike. With a strong brand reputation and consistent dividend payments, LOW presents an appealing option for investors seeking stability and income in the retail sector.
| Section | Information |
|---|---|
Overview: |
Lowe's Companies, Inc. (LOW) is a leading retailer in the home improvement sector, offering a wide variety of building materials, appliances, tools, and home decor products. They cater to do-it-yourself (DIY) homeowners, professionals, and contractors. Lowe's boasts a nationwide presence in the United States with over 2,100 stores, making them the second-largest home improvement retailer in the country behind The Home Depot. Their mission statement is "to help our customers improve their homes and lives." Core values include integrity, inclusion, innovation, and customer focus. |
Business Model: |
Lowe's generates revenue primarily through product sales within their stores. Profits come from the markup on these products. They also offer additional services like installation and special orders, contributing to their revenue stream. Lowe's value chain involves a network of manufacturers, distributors, and logistics providers. Key partners include national and regional building material and home product suppliers. Their business is segmented into two primary areas: Lowe's Stores in the U.S. and Lowe's International, though the international segment is much smaller after recent divestitures. |
Industry Competition: |
The home improvement retail industry is highly competitive, with Lowe's main rival being The Home Depot (HD). Other competitors include regional chains and specialty retailers catering to specific segments of the home improvement market. Recent trends in the industry include increasing online sales, focus on professional contractor sales, and a growing emphasis on home improvement projects. |
Competitive Advantage: |
|
Management Team: |
|
Financial Performance: |
Lowe's has a history of steady financial performance with consistent revenue growth. Net income and EPS have also shown positive trends. Recent developments indicate continued profitability, but competition and economic factors could impact future performance. Upcoming events like housing market fluctuations or changes in consumer spending habits could affect their business. |
Investment Thesis: |
Investors may consider LOW for:
|
Conclusion: |
Lowe's is a major player in the home improvement retail industry with a loyal customer base and a national presence. Their focus on product selection, competitive pricing, and omnichannel experiences positions them well for future competition. However, the industry is dynamic, and investors should be aware of potential challenges. |
| Section | Details |
|---|---|
LOW Dividend Data |
Lowe's Companies Inc. (LOW) has an annual dividend of $4.40 per share. The company has a track record of 52 years of dividend growth. The dividend payout ratio is 33.43%, which indicates that it retains a significant portion of its earnings for reinvestment or debt repayment. |
LOW Dividend Yield |
The current dividend yield for Lowe's Companies Inc. (LOW) is 1.8487%. This means that for every $100 invested in the company's stock, investors would receive $1.85 in dividends per year. |
LOW Dividend History |
Lowe's Companies Inc. has a history of consistent dividend growth. Here are some recent quarterly dividends: Announced on 3/22/2024, Period: Quarterly, Amount: $1.10, Yield: 1.7%, Ex-Dividend Date: 4/23/2024, Record Date: 4/24/2024, Payable Date: 5/8/2024. |
LOW Dividend Payout & Dividend Payout Ratio |
The dividend payout ratio is a measure of the percentage of net income a company pays out to its shareholders as dividends. For Lowe's Companies Inc., the dividend payout ratio is 33.43%, which indicates that it retains a significant portion of its earnings for reinvestment or debt repayment. |
LOW Dividend Stability & Growth |
Lowe's Companies Inc. has a track record of 52 years of dividend growth. This suggests that the company has a stable dividend policy and has consistently managed to increase its dividends over the years. The annualized 3-year dividend growth is 24.10%. |
| Lowe's Companies Inc. (LOW) | The Home Depot Inc. (HD) | Walmart Inc. (WMT) | |
|---|---|---|---|
Industry Focus |
Home improvement retail | Home improvement retail | General merchandise stores |
Current Yield |
1.8487% | 2.63% | 1.38% |
Price-to-Earnings Ratio (P/E) |
17.58 | 22.69 | 31.49 |
Investment Strategy |
Low-cost leadership | Low-cost leadership | Low-cost leadership |
Investing in Lowe’s Companies Inc. (LOW), like any other investment, comes with its own set of risks and rewards. The company’s dividend history shows a pattern of consistent and sustainable growth. LOW’s dividend yield is currently at 1.9%, which is attractive for dividend investors. However, the dividend payout ratio of 33.43% indicates that the company is using a significant portion of its earnings to pay dividends, which could limit the company’s ability to reinvest in its business or pay down debt.
The Lowe’s Companies Inc. operates home improvement and appliance stores in the United States, Canada, and Mexico. The company’s stock price can be affected by factors such as changes in housing prices, competitive pressures, and changes in consumer spending habits. Therefore, it’s important for investors to consider these factors and their potential impact on LOW’s dividend and overall investment performance. It’s also worth noting that while LOW’s dividend has increased over the years, the rate of increase has varied, and past performance is not a guarantee of future results.