In the latest market close, Lowe's (LOW) reached $230.77, with a -0.86% movement compared to the previous day. This move lagged the S&P 500's daily gain of 0.73%. Elsewhere, the Dow saw a downswing of 0.64%, while the tech-heavy Nasdaq appreciated by 1.61%.

The home improvement retailer's stock has climbed by 3.85% in the past month, falling short of the Retail-Wholesale sector's gain of 9.91% and the S&P 500's gain of 9.07%.

Analysts and investors alike will be keeping a close eye on the performance of Lowe's in its upcoming earnings disclosure. The company's earnings report is set to go public on May 21, 2025. It is anticipated that the company will report an EPS of $2.89, marking a 5.56% fall compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $20.95 billion, showing a 1.95% drop compared to the year-ago quarter.

Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $12.22 per share and revenue of $84.21 billion. These totals would mark changes of +1.83% and +0.65%, respectively, from last year.

Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Lowe's. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.52% lower. At present, Lowe's boasts a Zacks Rank of #3 (Hold).

In the context of valuation, Lowe's is at present trading with a Forward P/E ratio of 19.06. This valuation marks a discount compared to its industry's average Forward P/E of 20.47.

It's also important to note that LOW currently trades at a PEG ratio of 2.24. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Retail - Home Furnishings industry had an average PEG ratio of 2.43 as trading concluded yesterday.

Story Continues

The Retail - Home Furnishings industry is part of the Retail-Wholesale sector. Currently, this industry holds a Zacks Industry Rank of 212, positioning it in the bottom 15% of all 250+ industries.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow LOW in the coming trading sessions, be sure to utilize Zacks.com.

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Lowe's Companies, Inc. (LOW):Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

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