Lowe's Companies, Inc. (LOW) Valuation — DCF, Graham & Comparables

Lowe's Companies, Inc. (LOW) — Price $229.38 (closing price, November 4, 2026) — Consumer Cyclical — Home Improvement — NYSE

Latest reported results:

Valuation dashboard for Lowe's Companies, Inc. (LOW) with P/E 19.39, P/B -17.24, EV/EBITDA 13.1 and dividend yield 2.14%. DCF, Graham Number, EPS growth, peer multiples and dividend discount models plus sector comparison against other Consumer Cyclical companies.

Lowe's Companies, Inc., together with its various subsidiary entities, operates as a prominent home improvement retailer serving both the United States and international markets. The company supplies a broad spectrum of items essential for construction, upkeep, renovations, and interior design projects.

Where would it trade at its usual multiples?

Versus its usual multiples: fairly priced · Current P/E 19.4× · Multiples range: $217.32 · $268.78.

At the decade median (22.7×) $269 (+17%); at its sector median (18.4×) $217 (-5%). Implied price from applying the reference multiples to today's earnings (or book value, or FFO) per share. Not a fair value: it is where the stock would trade at its usual multiples.

Analysis Summary

Lowe's Companies, Inc. reported revenue of $86.29B in the most recent fiscal year, growing at a 5-year CAGR of -0.8%. Net income reached $6.65B, with a 2.7% 5-year CAGR.

Trailing-twelve-month margins: gross margin 33.1%, operating margin 11.4%, net margin 7.3%.

At $229.38 (closing price, November 4, 2026), LOW trades at a P/E of 19.39 and an ROE of -71.79%. Market capitalisation stands at $128.7B, placing it among large-cap names.

Balance sheet quality for LOW: debt-to-equity ratio of -5.65, current ratio of 1.10 over the last 12 months. A debt-to-equity below 1.0 typically signals conservative capital structure, while a current ratio above 1.5 indicates comfortable short-term liquidity.

Valuation Ratios

P/E Ratio19.39
Price / Book-17.24
EV / EBITDA13.1
Dividend Yield2.14%

Peer Comparison

SymbolCompanyMarket CapP/EP/BROE
LOWLowe's Companies, Inc.$128.7B19.39-71.8%
HDThe Home Depot, Inc.$354.6B24.8721.26102.7%
SHWThe Sherwin-Williams Company$87.8B33.4122.0063.5%
SWKStanley Black & Decker, Inc.$17.9B21.242.039.4%
0JVQ.LLowe's Companies, Inc.$111.4B16.78-71.8%

Price

Price$229.38 (closing price, November 4, 2026)
Market Cap$128.7B
ExchangeNYSE
CountryUS

Profitability

Return on Equity-71.79%
Return on Invested Capital20.62%
Return on Assets11.89%
Gross Margin33.08%
Operating Margin11.38%
Net Margin7.34%

Related companies: HD · SHW · SWK · 0JVQ.L

Explore sector: Consumer Cyclical · Home Improvement

More sections of LOW: Overview · Financials · Estimates · Technical · Ownership

Discover more: Weekly Radar: the S&P 500 through the Buffett and Lynch methods · Companies that pass the Buffett method · Companies that pass the Lynch method · Stocks that pass Graham's defensive investor test today · Investment Academy — learn to analyze stocks