Crypto Whales Are Loading Up — Are You?
New research shows the biggest crypto buyers are back. And this time? They could hold for the possibility that Bitcoin will surpass $100,000 in 2024. You don’t want to miss the next massive crypto bull run like we saw in 2020 and 2021. To know exactly what’s going on and what to buy… Get Access To Benzinga’s Best Crypto Research and Investments For Only $1.
Lowe's Companies, Inc. (NYSE:LOW) and rival Home Depot Inc (NYSE:HD) have released their respective earnings reports, which shows Home Depot is the better company but Lowe's is the better stock to own, according to Oppenheimer.
The Analyst
ENTER TO WIN $500 IN STOCK OR CRYPTO
Enter your email and you'll also get Benzinga's ultimate morning update AND a free $30 gift card and more!
Oppenheimer's Brian Nagel talked Lowe's and Home Depot during Wednesday's "Squawk Box" segment on CNBC.
The Thesis
Lowe's reported its second-quarter results, which shows its recently appointed CEO Marvin Ellison isn't wasting any time and is "getting to work" right away by streamlining the business, Nagel said. Under Ellison's leadership, the company is also closing all Orchard Supply stores it gained from a 2013 acquisition it shouldn't have made in the first place. Instead, the company will shift its focus to simply selling products that actually sell well.
In other words, Lowe's merely needs to "tweak" its business model without the need for significant investment dollars, Nagel said. As such, investors should expect to see improvements as soon as the next few quarters which makes Lowe's stock a turnaround story.
FREE REPORT: How To Learn Options Trading Fast
In this special report, you will learn the four best strategies for trading options, how to stay safe as a complete beginner, a 411% trade case study, PLUS how to access two new potential winning options trades starting today.Claim Your Free Report Here.
On the other hand, Home Depot is the better company today as evident by superior metrics for essentially the same business, Nagel said. For example, Lowe's has a 5-percentage point deficit in terms of operating margins, which is a "big gap." Lowe's should improve on the gap over time, which would be a key catalyst for the stock to work.
Price Action
Shares of Lowe's were trading higher by 8 percent and hit a new 52-week high of $109.80 Wednesday. Home Depot was also up, trading around $201.66.
Related Links:
How Lowe's Earnings Stack Up To Home Depot
KeyBanc Raises Lowe's Price Target, Likes Ellison's Leadership Style
Photo courtesy of Lowe's.
Crypto Whales Are Loading Up — Are You?
New research shows the biggest crypto buyers are back. And this time? They could hold for the possibility that Bitcoin will surpass $100,000 in 2024. You don’t want to miss the next massive crypto bull run like we saw in 2020 and 2021. To know exactly what’s going on and what to buy… Get Access To Benzinga’s Best Crypto Research and Investments For Only $1.