Lowe's Companies reported second-quarter earnings per share of $4.27, beating the $4.22 consensus, but sales of $25.96 billion missed the $26.16 billion estimate and comparable sales rose just 0.2% versus 0.8% expected. The company cut its full-year comparable-sales outlook to flat growth from a prior range of 0% to 2%, citing cautious consumers and a weak housing environment. Gross margin exceeded expectations, and the company saw momentum from professional customers, home services, and online sales. Home Depot, by contrast, beat quarterly expectations and maintained its full-year targets, raising questions about Lowe's execution. Lowe's shares initially rose about 4% after the results.
Lowe's Companies IncLowe's cut its full-year comparable-sales outlook due to cautious consumers and weak housing, despite beating EPS.
The Home Depot IncHome Depot is mentioned as a comparison, having beaten expectations and maintained targets, but no direct impact on Home Depot is stated.
The TJX Companies Inc