BlackRock Fund Advisors recently announced the acquisition of new stake in Lowe’s Companies Inc. (NYSE:LOW). The institutional investor has increased its shareholding in the Consumer Cyclical company by 2.11% to 34.6 million shares with purchase of 0.72 million shares. This fresh investment now brings its stake to 4.58% valued currently at $5.15 billion. In addition, Fidelity Management & Research Co.. raised its holdings by 0.29 million to 19.38 million shares. And Pershing Square Capital Managemen.. has lifted its position by 3.73% or 0.46 million shares – to 12.71 million shares.
With over 4.28 million Lowe’s Companies Inc. (LOW) shares trading Tuesday and a closing price of $167.59 on the day, the dollar volume was approximately $717.89 million. The shares have shown a positive weekly performance of 1.01% and its price on 09/01/20 gained nearly 1.76%. Currently, there are 755.74M common shares owned by the public and among those 754.11M shares have been available to trade.
An analysis of what Wall Street brokers have to say about the expected price targets for this stock gives us this picture: 30 analysts who have offered their price forecasts for LOW have a consensus price objective of $182.33. The analysts have set the share’s price value over the next 12 months at a high of $205.00 and a low of $155.00 should the stock experience a downside. Incidentally, analysts’ outlook for the Lowe’s Companies Inc. stock is 1.90 for the next 12 months. The average price target is 7.66% above its last price level and an upside to the estimated low will see the stock lose -8.12% over that period. But an upside of 18.25% will see the stock hit the forecast high price target while mean target price for the stock is $185.00.
Insiders at the company have transacted a total of 33 times over the past 12 months, according to data filed with the U.S. Securities and Exchange Commission (SEC). 20 of these insider trades were purchases, accounting for 193,577 shares. Insider sales of the common stock occurred on 13 occasions, with total insider shares sold totaling 96,763 shares.
The top 3 mutual fund holders in Lowe’s Companies Inc. are Vanguard Total Stock Market Index, Vanguard 500 Index Fund, and SPDR S&P 500 ETF. Vanguard Total Stock Market Index owns 21.46 million shares of the company’s stock, all valued at over $3.2 billion. The company sold 56696.0 shares recently to bring their total holdings to about 2.84% of the shares outstanding. Vanguard 500 Index Fund sold 93741.0 shares to see its total holdings shrink to 15.57 million shares valued at over $2.32 billion and representing 2.06% of the shares outstanding. SPDR S&P 500 ETF bought 16380.0 shares to bring its total holdings to over 8.1 million shares at a value of $1.21 billion. SPDR S&P 500 ETF now owns shares totaling to 1.07% of the shares outstanding.
Shares of Lowe’s Companies Inc. (NYSE: LOW) opened at $164.41, down -$0.28 from a prior closing price of $164.69. However, the script later closed the day at $167.59, up 1.76%. The company’s stock has a 5-day price change of 1.01% and 26.16% over the past three months. LOW shares are trading 39.94% year to date (YTD), with the 12-month market performance up to 50.74% higher. It has a 12-month low price of $60.00 and touched a high of $171.32 over the same period. Currently, 4.28 million shares have been traded, compared to an average intraday trading volume of 4.17 million shares. The stock is trading above its simple moving averages at the SMA20, SMA50, and SMA200, as the current price level is off by 5.68%, 13.49%, and 38.57% respectively.
Institutional ownership of Lowe’s Companies Inc. (NYSE: LOW) shares accounts for 77.10% of the company’s 755.74M shares outstanding. Mutual fund holders own 36.82%, while other institutional holders and individual stakeholders account for 40.18% and 1.04% respectively.
It has a market capitalization of $127.27B and a beta (3y monthly) value of 1.50. The stock’s trailing 12-month PE ratio is 22.27, while the earnings-per-share (ttm) stands at $7.53. The company has a PEG of 1.02 and a Quick Ratio of 0.60 with the debt-to-equity ratio at 5.01. Price movements for the stock have been influenced by the stock’s volatility, which stands at 2.24% over the week and 1.93% over the month.
Analysts forecast that Lowe’s Companies Inc. (LOW) will achieve an EPS of $1.88 for the current quarter, $1.12 for the next quarter and $8.53 for 2022. The lowest estimate earnings-per-share for the quarter is $1.46 while analysts give the company a high EPS estimate of $2.22. Comparatively, EPS for the current quarter was $1.41 a year ago. Earnings per share for the fiscal year are expected to increase by 92.90%, and -0.04% over the next financial year. EPS should grow at an annualized rate of 21.80% over the next five years, compared to 15.20% over the past 5-year period.
If you are looking to buy this stock, then you may note that the average analyst recommendation by 30 brokerage firm advisors rate Lowe’s Companies Inc. (LOW) as a “Strong Buy” at a consensus score of 1.90. Specifically, 22 Wall Street analysts polled rate the stock as a buy, while 5 of the 30 advise that investors “hold,” and 0 rated it as a “Sell.”
Looking at the support for the LOW, a number of firms have released research notes about the stock. Morgan Stanley stated their Overweight rating for the stock in a research note on August 25, 2020, with the firm’s price target at $160-$190. Wedbush coverage for the Lowe’s Companies Inc. (LOW) stock in a research note released on August 20, 2020 offered a Outperform rating with a price target of $180. Telsey Advisory Group was of a view on August 20, 2020 that the stock is Outperform, while Robert W. Baird gave the stock Outperform rating on August 20, 2020, issuing a price target of $175- $190. RBC Capital Mkts on their part issued Outperform rating on August 20, 2020.