As Lowes Warns Can Home Depot Be Far Behind (HD)(LOW)
Yesterday, Lowes said it would only make the low end of its numbers for 2006. Since Home Depot is larger and has been growing more slowly, Wall St. has to be concerned that its numbers may get worse.
Lowes said slow home sales and higher gas prices were to blame for the slowdown.
In the last fiscal year for the companies (January 30 fiscal) Lowes revenue grew 18.9% to 43.2 billion. Home Depot's revenue grew 11.5% to $81.5 billion. The difference in the growth rates has shown up in the stocks. Over the last two years, Lowes stock has gone up about 7% and Home Depot is down about 5%.
After it announcement, Lowes shares dropped over 2% after hours. The drop could be larger at Home Depot.
Douglas A. McIntyre can be reached at douglasamcintyre@247wallst.com. He does not own securities in companies that he writes about.
Lowes said slow home sales and higher gas prices were to blame for the slowdown.
In the last fiscal year for the companies (January 30 fiscal) Lowes revenue grew 18.9% to 43.2 billion. Home Depot's revenue grew 11.5% to $81.5 billion. The difference in the growth rates has shown up in the stocks. Over the last two years, Lowes stock has gone up about 7% and Home Depot is down about 5%.
After it announcement, Lowes shares dropped over 2% after hours. The drop could be larger at Home Depot.
Douglas A. McIntyre can be reached at douglasamcintyre@247wallst.com. He does not own securities in companies that he writes about.
posted by douglas mcintyre at 7:24 AM
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