Lowe’s Companies, Inc. (NYSE:LOW) Raises Dividend to $1.05 Per Share

Lowe’s Companies, Inc. (NYSE:LOWGet Rating) announced a quarterly dividend on Friday, May 27th, RTT News reports. Shareholders of record on Wednesday, July 20th will be paid a dividend of 1.05 per share by the home improvement retailer on Wednesday, August 3rd. This represents a $4.20 annualized dividend and a yield of 2.10%. This is an increase from Lowe’s Companies’s previous quarterly dividend of $0.80.

Lowe’s Companies has increased its dividend by an average of 17.5% annually over the last three years and has increased its dividend every year for the last 47 years. Lowe’s Companies has a dividend payout ratio of 21.7% meaning its dividend is sufficiently covered by earnings. Analysts expect Lowe’s Companies to earn $14.71 per share next year, which means the company should continue to be able to cover its $3.20 annual dividend with an expected future payout ratio of 21.8%.

Lowe’s Companies stock opened at $199.63 on Friday. The company has a market capitalization of $131.98 billion, a price-to-earnings ratio of 16.27, a PEG ratio of 1.18 and a beta of 1.25. Lowe’s Companies has a 12 month low of $179.22 and a 12 month high of $263.31. The stock’s 50 day moving average is $201.37 and its 200-day moving average is $226.14.

Lowe’s Companies (NYSE:LOWGet Rating) last issued its quarterly earnings data on Wednesday, May 18th. The home improvement retailer reported $3.51 EPS for the quarter, beating analysts’ consensus estimates of $3.22 by $0.29. Lowe’s Companies had a negative return on equity of 251.50% and a net margin of 8.85%. The firm had revenue of $23.66 billion for the quarter, compared to analyst estimates of $23.72 billion. During the same period in the prior year, the firm posted $3.21 EPS. The company’s revenue for the quarter was down 3.1% on a year-over-year basis. Sell-side analysts predict that Lowe’s Companies will post 13.49 EPS for the current year.

LOW has been the subject of several analyst reports. Telsey Advisory Group lifted their price objective on shares of Lowe’s Companies from $275.00 to $285.00 and gave the stock an “outperform” rating in a research note on Thursday, February 24th. JPMorgan Chase & Co. lifted their price target on shares of Lowe’s Companies from $228.00 to $230.00 and gave the company a “neutral” rating in a research report on Thursday, May 19th. StockNews.com downgraded Lowe’s Companies from a “buy” rating to a “hold” rating in a research report on Sunday. UBS Group dropped their price objective on Lowe’s Companies from $250.00 to $240.00 and set a “buy” rating for the company in a report on Thursday, May 19th. Finally, Jefferies Financial Group reduced their target price on Lowe’s Companies from $290.00 to $238.00 and set a “buy” rating on the stock in a report on Thursday, May 19th. Two research analysts have rated the stock with a sell rating, four have assigned a hold rating and fifteen have assigned a buy rating to the company. According to MarketBeat, Lowe’s Companies presently has a consensus rating of “Buy” and a consensus price target of $243.84.

Several institutional investors and hedge funds have recently made changes to their positions in LOW. Golden State Equity Partners grew its holdings in shares of Lowe’s Companies by 9.7% during the first quarter. Golden State Equity Partners now owns 2,703 shares of the home improvement retailer’s stock worth $547,000 after purchasing an additional 240 shares during the last quarter. Baader Bank INC bought a new stake in Lowe’s Companies during the 1st quarter worth approximately $1,011,000. Nomura Holdings Inc. increased its position in Lowe’s Companies by 10.8% in the 1st quarter. Nomura Holdings Inc. now owns 19,946 shares of the home improvement retailer’s stock valued at $4,037,000 after acquiring an additional 1,945 shares during the period. Wealthfront Advisers LLC raised its stake in shares of Lowe’s Companies by 17.4% during the first quarter. Wealthfront Advisers LLC now owns 72,303 shares of the home improvement retailer’s stock valued at $14,619,000 after acquiring an additional 10,735 shares during the last quarter. Finally, Continuum Advisory LLC lifted its holdings in shares of Lowe’s Companies by 48.1% during the first quarter. Continuum Advisory LLC now owns 1,342 shares of the home improvement retailer’s stock worth $265,000 after purchasing an additional 436 shares during the period. Institutional investors own 75.46% of the company’s stock.

About Lowe’s Companies (Get Rating)

Lowe's Companies, Inc, together with its subsidiaries, operates as a home improvement retailer in the United States and internationally. The company offers a line of products for construction, maintenance, repair, remodeling, and decorating. It provides home improvement products, such as appliances, seasonal and outdoor living, lawn and garden, lumber, kitchens and bath, tools, paint, millwork, hardware, flooring, rough plumbing, building materials, décor, lighting, and electrical.

Further Reading

Dividend History for Lowe's Companies (NYSE:LOW)

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