UPDATE: Jefferies Raises PT to $32 on Lowe's Companies Following Meeting with Management

Jefferies reiterated its Hold rating on Lowe's Companies

but raised its price target from $31 to $32. Jefferies commented, "We walked away from the meeting feeling better about certain aspects of the long-term plan (i.e. added labor and less inventory reduction), but were a bit surprised that financial targets were not shaved more in light of a challenging year. Perhaps that should be viewed positively, but misses to high expectations set in the last two years seem to warrant a more conservative view.… SSS expectations are now 4.3% on average for the next 3 years versus recent sub 2% trends. SSS next year are expected to be below the targeted average as initiatives to improve close rates are implemented. The forecast now also includes a macro benefit from housing, which is expected to add 50-100 bps." Lowe's Companies closed at $35.20 on Wednesday.