UPDATE: BMO Capital Raises PT on Lowe's Companies Following 2Q13 EPS Release

In a report published Thursday, BMO Capital Markets analyst Wayne Hood reiterated a Market Perform rating on

, and raised the price target from $43.00 to $50.00. In the report, BMO Capital Markets noted, “Our comments follow our initial impressions of LOW's 2Q13 EPS print with earnings that were above our and consensus expectations, driven by a better-than-expected 9.6% increase in comp-store sales. Management raised FY2013 EPS guidance to $2.10 from $2.05. The better-than-expected 9.6% comp-store sales increase compares with HD's 10.7%, the narrowest one-year and two-year gap since 3Q10. However, similar to HD, we were surprised there was not stronger flow-through to EPS with SG&A up 8%, or up 79% of the rate of sales growth (vs. 58% at HD). Management's guidance for the back half of the year appears conservative and implies some moderation in the housing recovery.” Lowe's Companies closed on Wednesday at $45.81.