J.P. Morgan Reiterates on Lowe's Companies on Strong Comps but Lack of Flow-Through

In a report published Wednesday, J.P. Morgan analyst Christopher Horvers reiterated an Overweight rating on Lowe's Companies LOW. In the report, J.P. Morgan noted, “LOW reported 3Q13 operating EPS of $0.47 vs. our estimate of $0.48 and consensus of $0.48. Same-store sales were 6.2% vs. our 4.0%E. Gross margin improved 30 bps in the quarter vs. our estimate of a 60-bp increase, and operating expenses delevered 10 bps in line with our estimate of a 10-bp increase. Sales increased 7.3%, with LOW adding 1.6% to square footage, largely from the recent Orchard Supply acquisition. Inventories were up 6.6% in the quarter.” Lowe's Companies closed on Tuesday at $50.44.
Market News and Data brought to you by Benzinga APIs
Comments
Loading...
date
ticker
name
Price Target
Upside/Downside
Recommendation
Firm
Posted In: Analyst ColorReiterationAnalyst RatingsChristopher HorversJ.P. Morgan
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!