LOW vs. HD, BLDR, FND, JCTC, COST, BABA, MCD, PDD, BKNG, and TJX
Should you be buying Lowe's Companies stock or one of its competitors? The main competitors of Lowe's Companies include Home Depot (HD), Builders FirstSource (BLDR), Floor & Decor (FND), Jewett-Cameron Trading (JCTC), Costco Wholesale (COST), Alibaba Group (BABA), McDonald's (MCD), PDD (PDD), Booking (BKNG), and TJX Companies (TJX). These companies are all part of the "retail/wholesale" sector.
Lowe's Companies vs.
Home Depot (NYSE:HD) and Lowe's Companies (NYSE:LOW) are both large-cap retail/wholesale companies, but which is the better stock? We will compare the two companies based on the strength of their dividends, earnings, analyst recommendations, community ranking, risk, media sentiment, profitability, valuation and institutional ownership.
Home Depot pays an annual dividend of $9.20 per share and has a dividend yield of 2.5%. Lowe's Companies pays an annual dividend of $4.60 per share and has a dividend yield of 2.0%. Home Depot pays out 61.7% of its earnings in the form of a dividend. Lowe's Companies pays out 37.7% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Home Depot has raised its dividend for 16 consecutive years and Lowe's Companies has raised its dividend for 53 consecutive years.
Home Depot has a net margin of 9.45% compared to Lowe's Companies' net margin of 8.19%. Home Depot's return on equity of 452.60% beat Lowe's Companies' return on equity.
Home Depot received 314 more outperform votes than Lowe's Companies when rated by MarketBeat users. Likewise, 71.47% of users gave Home Depot an outperform vote while only 69.52% of users gave Lowe's Companies an outperform vote.
Home Depot has a beta of 1.09, indicating that its stock price is 9% more volatile than the S&P 500. Comparatively, Lowe's Companies has a beta of 1.12, indicating that its stock price is 12% more volatile than the S&P 500.
In the previous week, Home Depot had 39 more articles in the media than Lowe's Companies. MarketBeat recorded 90 mentions for Home Depot and 51 mentions for Lowe's Companies. Lowe's Companies' average media sentiment score of 1.31 beat Home Depot's score of 1.26 indicating that Lowe's Companies is being referred to more favorably in the news media.
Home Depot presently has a consensus price target of $435.85, indicating a potential upside of 19.75%. Lowe's Companies has a consensus price target of $279.71, indicating a potential upside of 20.04%. Given Lowe's Companies' higher probable upside, analysts plainly believe Lowe's Companies is more favorable than Home Depot.
Home Depot has higher revenue and earnings than Lowe's Companies. Lowe's Companies is trading at a lower price-to-earnings ratio than Home Depot, indicating that it is currently the more affordable of the two stocks.
70.9% of Home Depot shares are held by institutional investors. Comparatively, 74.1% of Lowe's Companies shares are held by institutional investors. 0.1% of Home Depot shares are held by insiders. Comparatively, 0.3% of Lowe's Companies shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.
Summary
Home Depot beats Lowe's Companies on 15 of the 22 factors compared between the two stocks.
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New MarketBeat Followers Over Time
This chart shows the number of new MarketBeat users adding {thisCompany.Symbol} and its top 5 competitors to their watchlist. Each company is represented with a line over a 90 day period.
Media Sentiment Over Time
This chart shows the average media sentiment of NYSE and its competitors over the past 90 days as caculated by MarketBeat. The averaged score is equivalent to the following: Very Negative Sentiment <= -1.5, Negative Sentiment > -1.5 and <= -0.5, Neutral Sentiment > -0.5 and < 0.5, Positive Sentiment >= 0.5 and < 1.5, and Very Positive Sentiment >= 1.5.
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This page (NYSE:LOW) was last updated on 3/25/2025 by MarketBeat.com Staff
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