Lowe's shares tumble earlier this week

On Wednesday Lowe's shares took a dip of 6.8% and saw no significant increases in its sales unlike its competitor Home Depot. In the second quarter, sales for items over $500 increased by 2.9% while Home Depot reported an increase of 9.5% of purchases over $900. The short spring caused a decrease in the number of outdoor items. The early arrival of spring also demanded that outdoor products be sold ahead of schedule and caused comparable sales for Lowe's to dip by 2.8%. Since Lowe’s receives a large amount of revenue from outdoor equipment and items, did better than Home Depot in the months of April and March. Meanwhile, Lowe's has decreased its outlook on earnings for the year to $4.06 a share to $4.11 as a result of its acquisition of Canadian company Rona Inc in May. Net sales for the company increased 5.3% to $18.26 billion, a bit less than expected by experts who predicted a figure of $18.45 billion. 

 

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