.August 21, 2024 11:58:00 AM

Piper Sandler analysts reaffirmed their Overweight rating for Lowe’s (NYSE:LOW) with a price target of $262 after the company’s mixed second-quarter results and anticipated guidance revision. Despite sales missing expectations, Lowe’s beat earnings per share through effective cost management. The Pro segment saw mid-single-digit percentage gains, outperforming Home Depot in the Pro market. Ongoing weakness in the DIY sector is a concern, but Lowe’s valuation relative to the S&P 500 is below average. Analysts expect Lowe’s valuation to rise with declining interest rates, but remain more optimistic about Home Depot’s Pro market exposure.