Lowe’s is one of the largest home improvement retailers in the world The stock returned 35,000% (!) to shareholders since 1990. Let’s teach you everything you need to know about this dividend aristocrat.
We would be remiss if we didn't mention Lowe's competitor, Home Depot. 😉
Both retailers have a large footprint, enormous scale, and a great runway for growth. A lot of people are not selling their homes to move upward and onward to a bigger, better, more plush home. Mortgage rates are higher now and house prices haven't necessarily come down much, if at all. To that end, more people are remodeling and fixing up their current home than ever before. It was especially evident during the COVID crisis when everyone was stuck at home with a lot of free time on their hands. This was their chance to paint their interiors a new color, install new floors, buy new appliances, and clean up their yards.
I don't think that trend is going to end soon. My local Home Depot, about 3 miles from my home, is always packed on the weekends and there's a decent evening crowd for those picking something up after work.
Both Home Depot and Lowes are cannibal stocks.
Home Depot has a slightly higher dividend yield, although Lowes may have a longer record.
Both companies have very similar operating ratios in many cases because they kind of do the same thing, kind of the same way. Depending on what you are looking for, each may have something for cheaper than the other. Both of their professional services are small compared to their retail segments. Home Depot is trying to grow their professional services through the acquisition of SRS and make those products and services available to individual, residential customers too.
Their stock prices follow each other trend-wise, but in the long term, Lowe's wins in the total return performance.
We would be remiss if we didn't mention Lowe's competitor, Home Depot. 😉
Both retailers have a large footprint, enormous scale, and a great runway for growth. A lot of people are not selling their homes to move upward and onward to a bigger, better, more plush home. Mortgage rates are higher now and house prices haven't necessarily come down much, if at all. To that end, more people are remodeling and fixing up their current home than ever before. It was especially evident during the COVID crisis when everyone was stuck at home with a lot of free time on their hands. This was their chance to paint their interiors a new color, install new floors, buy new appliances, and clean up their yards.
I don't think that trend is going to end soon. My local Home Depot, about 3 miles from my home, is always packed on the weekends and there's a decent evening crowd for those picking something up after work.
Both Home Depot and Lowes are cannibal stocks.
Home Depot has a slightly higher dividend yield, although Lowes may have a longer record.
Both companies have very similar operating ratios in many cases because they kind of do the same thing, kind of the same way. Depending on what you are looking for, each may have something for cheaper than the other. Both of their professional services are small compared to their retail segments. Home Depot is trying to grow their professional services through the acquisition of SRS and make those products and services available to individual, residential customers too.
Their stock prices follow each other trend-wise, but in the long term, Lowe's wins in the total return performance.
Comments like these add tremendous value, Boris! Thank you very much for this!
Wow, an increase in dividends 29 years in a row! Thanks for the write up.
Honored to have you!