#6 - Lowe’s (NYSE:LOW)
The last two stocks on this list are somewhat contrarian picks. Several analysts will say that home improvement stocks are not a good investment during a housing downturn. And that’s an understandable opinion.
Lowe’s (NYSE:LOW) is a good example of a stock that’s been impacted by this opinion. From March 2020 to December 2021, LOW stock bounced 293%. And that was on top of a dividend that the company has grown for 48 consecutive years.
But since that 52-week high, the stock is down 20% as investors believe that the stock will underperform. However, a home is still an investment that needs to be maintained. And when homeowners are looking to beautify or update their home, they will turn to home improvement companies.
To that end, Lowe’s is posting revenue and earnings that are comparable to their numbers from 2021. That suggests that home improvement may still be in a multi-year bull cycle.
About Lowe's Companies
Lowe's Companies, Inc, together with its subsidiaries, operates as a home improvement retailer in the United States. The company offers a line of products for construction, maintenance, repair, remodeling, and decorating. It also provides home improvement products, such as appliances, seasonal and outdoor living, lawn and garden, lumber, kitchens and bath, tools, paint, millwork, hardware, flooring, rough plumbing, building materials, décor, and electrical.
Read More - Current Price
- $269.18
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 14 Buy Ratings, 11 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- $271.60 (0.9% Upside)
