# Lowe's Companies Inc. (LOW) fundamentals

Data as of 2026-09-08. NYSE, United States. Sector: Consumer Cyclical / Household Durables. Price $204.45, market value $114.7 billion.

## Valuation
- **P/E (trailing): 17.3×** (5-yr avg 19.3×, 3-yr avg 19.6×). Lowe's Companies Inc. trades at 17.3× trailing earnings, close to its own five-year average of 19.3×. The Consumer Cyclical median in the September 2026 study was 19.5×. Forward P/E is 15.7×, lower than trailing, so analysts expect earnings to grow.
- **Price / sales: 1.3×**. Each dollar of revenue is priced at 1.3×.
- **EV / EBITDA: 12.0×**. Enterprise value is 12.0× operating earnings before depreciation, the multiple that ignores how the company is financed.
- **Free-cash-flow yield: 6.1%** (5-yr avg 5.3%). Free cash flow equals 6.1% of the market value, in line with its five-year average of 5.3%. Above 5% is generally attractive.
- **Earnings yield: 5.8%**. The inverse of the P/E: 5.8% of the price is earned each year.

## Profitability
- **Gross margin: 33.1%**. Lowe's Companies Inc. keeps 33.1% of revenue after the direct cost of what it sells.
- **Operating margin: 11.4%**. 11.4% of revenue is left after running the business.
- **Net margin: 7.7%**. 7.7% of each dollar of sales reaches the bottom line.
- **Return on equity: -67.1%**. Return on equity is negative because earnings are negative.
- **Return on invested capital: 28.1%**. Return on all capital, debt included, is 28.1%: comfortably above what that capital costs.
- **Return on assets: 12.3%**. Each dollar of assets produces 12.3% of profit.

## Growth
- **Revenue growth (1 yr): 3.1%** (3-yr -3.8%/yr, 5-yr -0.8%/yr). Revenue grew 3.1% over the last year, against -0.8% a year compounded over five years: growth is accelerating.
- **EPS growth (1 yr): -3.1%** (3-yr 5.2%/yr, 5-yr 8.9%/yr). Earnings per share fell 3.1%, slower than revenue, so margins compressed.
- **Free-cash-flow growth (3 yr): 4.2%/yr**. Free cash flow has compounded at 4.2% a year over three years, keeping pace with earnings: the growth is real cash.

## Financial health
- **Net debt / EBITDA: 3.0×**. It would take 3.0 years of operating earnings to repay net borrowings, above the 3× level most lenders treat as comfortable.
- **Altman Z-score: 3.03**. A Z-score of 3.03 places the company in the safe zone for bankruptcy risk.
- **Piotroski F-score: 6/9**. 6 of 9 checks pass: mixed.

## Dividends
- **Dividend yield: 2.45%** ($4.85 per share, trailing). Lowe's Companies Inc. yields 2.45%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 40%** (38% of free cash flow). 40% of earnings goes out as dividends, leaving room to keep raising it.
- **Consecutive years of increases: 26**. 26 straight years of increases (the data covers 26 years, so this may be longer): a record very few companies hold.
- **Dividend growth (5 yr): 15.9%/yr** (1-yr 4.4%). The dividend has compounded at 15.9% a year over five years, doubling roughly every 5 years at that pace.

## Analyst view
- **Analyst consensus: buy** (33 analysts). 33 analysts cover Lowe's Companies Inc.; the consensus is buy, with an average price target of $253.76 (+24% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): -21.1%** (YTD -13.9%, 3-mo -2.4%). The shares are down 21.1% over twelve months including dividends.
- **From 52-week high: -30.2%** (2.6% above the low). Trading 30% below its 52-week high, deep in a drawdown.
- **200-day average: below**. The price sits below its 200-day moving average, the usual definition of a downtrend.
- **RSI (14-day): 41**. An RSI of 41 is neutral.
- **Beta (1 yr): 0.66** (volatility 27%). Beta of 0.66 against the S&P 500: the shares move much less than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=LOW · Page: https://foliofundamentals.com/stocks/low

Not investment advice.
