Lowe’s Companies Target of Unusually Large Options Trading (NYSE:LOW)

Lowe’s Companies, Inc. (NYSE:LOW) saw some unusual options trading activity on Monday. Investors bought 18,978 call options on the stock. This represents an increase of approximately 134% compared to the typical volume of 8,127 call options.

Analyst Upgrades and Downgrades

Several equities analysts have recently issued reports on the company. Evercore reduced their target price on Lowe’s Companies from $250.00 to $230.00 in a report on Thursday, May 21st. Piper Sandler dropped their price target on Lowe’s Companies from $300.00 to $276.00 and set an “overweight” rating on the stock in a report on Thursday, May 21st. Telsey Advisory Group cut their price objective on Lowe’s Companies from $295.00 to $280.00 and set an “outperform” rating on the stock in a research report on Thursday, May 21st. Sanford C. Bernstein reduced their price objective on Lowe’s Companies from $303.00 to $281.00 and set an “outperform” rating for the company in a research note on Thursday, May 14th. Finally, Mizuho decreased their target price on Lowe’s Companies from $294.00 to $280.00 and set an “outperform” rating for the company in a research report on Thursday, May 21st. Twenty-three analysts have rated the stock with a Buy rating, eleven have given a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat, the stock has an average rating of “Moderate Buy” and an average price target of $264.57.

Insider Activity at Lowe’s Companies

In related news, EVP Juliette Williams Pryor sold 9,330 shares of the firm’s stock in a transaction dated Wednesday, June 17th. The shares were sold at an average price of $224.81, for a total transaction of $2,097,477.30. Following the transaction, the executive vice president directly owned 16,142 shares of the company’s stock, valued at $3,628,883.02. This trade represents a 36.63% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, EVP Margrethe R. Vagell sold 2,500 shares of the business’s stock in a transaction dated Thursday, June 18th. The stock was sold at an average price of $223.83, for a total transaction of $559,575.00. Following the transaction, the executive vice president owned 20,220 shares in the company, valued at approximately $4,525,842.60. This trade represents a 11.00% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 25,980 shares of company stock valued at $5,796,937 over the last ninety days. Corporate insiders own 0.29% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in LOW. Natixis Advisors LLC raised its stake in shares of Lowe’s Companies by 3.5% during the fourth quarter. Natixis Advisors LLC now owns 630,956 shares of the home improvement retailer’s stock valued at $152,161,000 after acquiring an additional 21,119 shares during the last quarter. Bridges Investment Management Inc. grew its stake in shares of Lowe’s Companies by 6.1% in the fourth quarter. Bridges Investment Management Inc. now owns 446,441 shares of the home improvement retailer’s stock worth $107,664,000 after purchasing an additional 25,609 shares during the last quarter. Glenview Trust Co grew its stake in shares of Lowe’s Companies by 9.0% in the fourth quarter. Glenview Trust Co now owns 207,797 shares of the home improvement retailer’s stock worth $50,112,000 after purchasing an additional 17,225 shares during the last quarter. Kathmere Capital Management LLC increased its holdings in Lowe’s Companies by 133.9% during the 1st quarter. Kathmere Capital Management LLC now owns 9,402 shares of the home improvement retailer’s stock valued at $2,222,000 after purchasing an additional 5,383 shares during the period. Finally, LPL Financial LLC increased its holdings in Lowe’s Companies by 2.3% during the 4th quarter. LPL Financial LLC now owns 993,332 shares of the home improvement retailer’s stock valued at $239,552,000 after purchasing an additional 22,175 shares during the period. Institutional investors own 74.06% of the company’s stock.

Lowe’s Companies Price Performance

Shares of Lowe’s Companies stock traded down $3.90 on Monday, reaching $207.73. 4,263,757 shares of the company traded hands, compared to its average volume of 2,859,122. The company has a 50 day moving average of $219.20 and a 200 day moving average of $242.73. Lowe’s Companies has a 52 week low of $203.40 and a 52 week high of $293.06. The firm has a market capitalization of $116.48 billion, a PE ratio of 17.56, a PEG ratio of 2.67 and a beta of 0.86.

Lowe’s Companies (NYSE:LOW) last posted its quarterly earnings results on Wednesday, May 20th. The home improvement retailer reported $3.03 EPS for the quarter, topping analysts’ consensus estimates of $2.97 by $0.06. Lowe’s Companies had a net margin of 7.51% and a negative return on equity of 67.96%. The company had revenue of $23.08 billion for the quarter, compared to analysts’ expectations of $22.98 billion. During the same quarter in the previous year, the firm posted $2.92 EPS. Lowe’s Companies’s revenue was up 10.3% on a year-over-year basis. Lowe’s Companies has set its FY 2026 guidance at 12.250-12.750 EPS. As a group, analysts anticipate that Lowe’s Companies will post 12.48 earnings per share for the current year.

Lowe’s Companies Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, August 5th. Shareholders of record on Wednesday, July 22nd will be paid a $1.25 dividend. The ex-dividend date is Wednesday, July 22nd. This is a boost from Lowe’s Companies’s previous quarterly dividend of $1.20. This represents a $5.00 annualized dividend and a dividend yield of 2.4%. Lowe’s Companies’s dividend payout ratio is presently 40.57%.

Lowe’s Companies Company Profile

Lowe’s Companies, Inc is a leading home improvement retailer that operates large-format stores and digital channels serving both do-it-yourself homeowners and professional contractors. The company offers a broad assortment of products including building materials, lumber, appliances, tools and hardware, plumbing and electrical supplies, paint, flooring, kitchen and bath fixtures, outdoor and garden products, and home decor. Lowe’s also provides a range of services such as installation, home improvement financing, tool and equipment rental, and contractor-focused sales programs.

Operations are centered on a nationwide brick-and-mortar store network supported by distribution centers and an e-commerce platform that enables online ordering, delivery and in-store pickup.