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Posted by Defense World Staff on Jul 25th, 2026

Bollard Group LLC boosted its holdings in shares of Lowe’s Companies, Inc. (NYSE:LOW – Free Report) by 22.4% in the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm owned 37,563 shares of the home improvement retailer’s stock after acquiring an additional 6,868 shares during the period. Bollard Group LLC’s holdings in Lowe’s Companies were worth $8,876,000 at the end of the most recent reporting period.

Several other hedge funds have also bought and sold shares of LOW. Swiss RE Ltd. bought a new position in Lowe’s Companies in the 4th quarter worth about $25,000. Wilkerson Advisory Group LLC purchased a new stake in shares of Lowe’s Companies during the fourth quarter valued at approximately $27,000. OLD Second National Bank of Aurora increased its position in shares of Lowe’s Companies by 52.5% during the fourth quarter. OLD Second National Bank of Aurora now owns 122 shares of the home improvement retailer’s stock valued at $29,000 after acquiring an additional 42 shares in the last quarter. Sankala Group LLC bought a new stake in shares of Lowe’s Companies during the fourth quarter valued at approximately $33,000. Finally, Triumph Capital Management purchased a new position in Lowe’s Companies in the 3rd quarter worth approximately $34,000. Institutional investors own 74.06% of the company’s stock.

Lowe’s Companies Price Performance NYSE LOW opened at $207.35 on Friday. The stock has a market capitalization of $116.26 billion, a PE ratio of 17.53, a P/E/G ratio of 2.55 and a beta of 0.86. The business has a 50 day simple moving average of $215.22 and a two-hundred day simple moving average of $240.22. Lowe’s Companies, Inc. has a 1-year low of $199.40 and a 1-year high of $293.06.

Lowe’s Companies (NYSE:LOW – Get Free Report) last issued its quarterly earnings data on Wednesday, May 20th. The home improvement retailer reported $3.03 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.97 by $0.06. The business had revenue of $23.08 billion for the quarter, compared to analysts’ expectations of $22.98 billion. Lowe’s Companies had a negative return on equity of 67.96% and a net margin of 7.51%.The company’s revenue for the quarter was up 10.3% on a year-over-year basis. During the same period in the prior year, the firm earned $2.92 EPS. Lowe’s Companies has set its FY 2026 guidance at 12.250-12.750 EPS. On average, analysts anticipate that Lowe’s Companies, Inc. will post 12.48 EPS for the current fiscal year.

Lowe’s Companies Increases Dividend The firm also recently declared a quarterly dividend, which will be paid on Wednesday, August 5th. Investors of record on Wednesday, July 22nd will be paid a dividend of $1.25 per share. The ex-dividend date of this dividend is Wednesday, July 22nd. This is a positive change from Lowe’s Companies’s previous quarterly dividend of $1.20. This represents a $5.00 dividend on an annualized basis and a yield of 2.4%. Lowe’s Companies’s payout ratio is currently 42.27%.

Insider Buying and Selling at Lowe’s Companies In other news, EVP Juliette Williams Pryor sold 9,330 shares of the business’s stock in a transaction dated Wednesday, June 17th. The shares were sold at an average price of $224.81, for a total value of $2,097,477.30. Following the sale, the executive vice president directly owned 16,142 shares in the company, valued at $3,628,883.02. The trade was a 36.63% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, EVP Janice Dupre sold 14,150 shares of the company’s stock in a transaction dated Tuesday, June 16th. The shares were sold at an average price of $221.90, for a total transaction of $3,139,885.00. Following the sale, the executive vice president owned 39,785 shares in the company, valued at $8,828,291.50. This represents a 26.24% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 25,980 shares of company stock worth $5,796,937 over the last 90 days. 0.29% of the stock is owned by insiders.

Analyst Ratings Changes LOW has been the topic of several analyst reports. Citigroup raised Lowe’s Companies from a “neutral” rating to a “buy” rating and set a $285.00 price objective on the stock in a research report on Tuesday, May 12th. Truist Financial decreased their price target on Lowe’s Companies from $280.00 to $255.00 and set a “buy” rating for the company in a research note on Thursday, May 21st. William Blair started coverage on Lowe’s Companies in a report on Tuesday, May 12th. They set an “overweight” rating on the stock. Royal Bank Of Canada dropped their price objective on Lowe’s Companies from $264.00 to $232.00 and set a “sector perform” rating on the stock in a research report on Thursday, May 21st. Finally, TD Cowen reduced their price objective on Lowe’s Companies from $280.00 to $235.00 and set a “hold” rating for the company in a report on Thursday, May 21st. Twenty-three equities research analysts have rated the stock with a Buy rating, eleven have given a Hold rating and two have given a Sell rating to the company’s stock. According to MarketBeat, the company presently has an average rating of “Moderate Buy” and an average target price of $264.57.

Check Out Our Latest Stock Report on Lowe’s Companies

Lowe’s Companies Company Profile (Free Report)

Lowe’s Companies, Inc is a leading home improvement retailer that operates large-format stores and digital channels serving both do-it-yourself homeowners and professional contractors. The company offers a broad assortment of products including building materials, lumber, appliances, tools and hardware, plumbing and electrical supplies, paint, flooring, kitchen and bath fixtures, outdoor and garden products, and home decor. Lowe’s also provides a range of services such as installation, home improvement financing, tool and equipment rental, and contractor-focused sales programs.

Operations are centered on a nationwide brick-and-mortar store network supported by distribution centers and an e-commerce platform that enables online ordering, delivery and in-store pickup.

Featured Stories Five stocks we like better than Lowe’s Companies AMD and Cerbras Create A New Blueprint For Hardware Intel Earnings Reveal Whether the Chip Selloff Created a Buy CrowdStrike’s Cerebras Deal Puts Its AI Security Strategy to the Test Plugging In: How Kinder Morgan Powers Up Profits Want to see what other hedge funds are holding LOW? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Lowe’s Companies, Inc. (NYSE:LOW – Free Report).

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Posted by Defense World Staff on Jul 22nd, 2026

ABN Amro Investment Solutions lessened its position in Lowe’s Companies, Inc. (NYSE:LOW – Free Report) by 19.9% in the 1st quarter, according to its most recent filing with the SEC. The firm owned 61,133 shares of the home improvement retailer’s stock after selling 15,198 shares during the period. ABN Amro Investment Solutions’ holdings in Lowe’s Companies were worth $14,445,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also made changes to their positions in the company. Swiss RE Ltd. purchased a new stake in shares of Lowe’s Companies in the fourth quarter valued at approximately $25,000. Wilkerson Advisory Group LLC acquired a new position in Lowe’s Companies during the fourth quarter worth $27,000. OLD Second National Bank of Aurora raised its position in Lowe’s Companies by 52.5% in the fourth quarter. OLD Second National Bank of Aurora now owns 122 shares of the home improvement retailer’s stock worth $29,000 after acquiring an additional 42 shares in the last quarter. Sankala Group LLC purchased a new position in Lowe’s Companies in the fourth quarter worth $33,000. Finally, Triumph Capital Management acquired a new stake in Lowe’s Companies in the third quarter valued at $34,000. Hedge funds and other institutional investors own 74.06% of the company’s stock.

Lowe’s Companies Stock Down 0.5% Lowe’s Companies stock opened at $203.62 on Wednesday. The firm has a market capitalization of $114.17 billion, a PE ratio of 17.21, a P/E/G ratio of 2.58 and a beta of 0.86. Lowe’s Companies, Inc. has a 52 week low of $201.88 and a 52 week high of $293.06. The firm’s 50-day simple moving average is $216.19 and its 200 day simple moving average is $241.02.

Lowe’s Companies (NYSE:LOW – Get Free Report) last posted its earnings results on Wednesday, May 20th. The home improvement retailer reported $3.03 earnings per share for the quarter, beating the consensus estimate of $2.97 by $0.06. Lowe’s Companies had a net margin of 7.51% and a negative return on equity of 67.96%. The firm had revenue of $23.08 billion during the quarter, compared to the consensus estimate of $22.98 billion. During the same period last year, the firm posted $2.92 EPS. The firm’s revenue for the quarter was up 10.3% on a year-over-year basis. Lowe’s Companies has set its FY 2026 guidance at 12.250-12.750 EPS. On average, research analysts expect that Lowe’s Companies, Inc. will post 12.48 EPS for the current fiscal year.

Lowe’s Companies Increases Dividend The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, August 5th. Investors of record on Wednesday, July 22nd will be given a dividend of $1.25 per share. The ex-dividend date is Wednesday, July 22nd. This represents a $5.00 dividend on an annualized basis and a yield of 2.5%. This is a boost from Lowe’s Companies’s previous quarterly dividend of $1.20. Lowe’s Companies’s dividend payout ratio (DPR) is 40.57%.

Insider Activity at Lowe’s Companies In other Lowe’s Companies news, EVP Janice Dupre sold 14,150 shares of the business’s stock in a transaction on Tuesday, June 16th. The stock was sold at an average price of $221.90, for a total value of $3,139,885.00. Following the completion of the transaction, the executive vice president directly owned 39,785 shares in the company, valued at approximately $8,828,291.50. The trade was a 26.24% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, EVP Margrethe R. Vagell sold 2,500 shares of the stock in a transaction on Thursday, June 18th. The stock was sold at an average price of $223.83, for a total value of $559,575.00. Following the transaction, the executive vice president directly owned 20,220 shares in the company, valued at approximately $4,525,842.60. This represents a 11.00% decrease in their position. The SEC filing for this sale provides additional information. In the last quarter, insiders sold 25,980 shares of company stock valued at $5,796,937. 0.29% of the stock is owned by insiders.

Analyst Ratings Changes Several equities research analysts have commented on LOW shares. Sanford C. Bernstein decreased their target price on shares of Lowe’s Companies from $303.00 to $281.00 and set an “outperform” rating on the stock in a research report on Thursday, May 14th. Stifel Nicolaus cut their price target on shares of Lowe’s Companies from $270.00 to $220.00 and set a “hold” rating for the company in a report on Monday, May 18th. The Goldman Sachs Group reduced their price objective on shares of Lowe’s Companies from $300.00 to $293.00 and set a “buy” rating for the company in a research note on Thursday, May 21st. Morgan Stanley decreased their price objective on shares of Lowe’s Companies from $292.00 to $277.00 and set an “overweight” rating on the stock in a report on Thursday, May 21st. Finally, Truist Financial lowered their target price on shares of Lowe’s Companies from $280.00 to $255.00 and set a “buy” rating on the stock in a research report on Thursday, May 21st. Twenty-three analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $264.57.

View Our Latest Report on LOW

Lowe’s Companies Profile (Free Report)

Lowe’s Companies, Inc is a leading home improvement retailer that operates large-format stores and digital channels serving both do-it-yourself homeowners and professional contractors. The company offers a broad assortment of products including building materials, lumber, appliances, tools and hardware, plumbing and electrical supplies, paint, flooring, kitchen and bath fixtures, outdoor and garden products, and home decor. Lowe’s also provides a range of services such as installation, home improvement financing, tool and equipment rental, and contractor-focused sales programs.

Operations are centered on a nationwide brick-and-mortar store network supported by distribution centers and an e-commerce platform that enables online ordering, delivery and in-store pickup.

Further Reading Five stocks we like better than Lowe’s Companies Confidence Is Back, But Earnings Show the Consumer Is Being Picky AeroVironment’s Stock Is Down, But Drone Demand Is Taking Off 3M’s Redemption Arc: Can Q2 Earnings Change the Narrative? 3 Photonics Companies Making Quantum Tech Possible Want to see what other hedge funds are holding LOW? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Lowe’s Companies, Inc. (NYSE:LOW – Free Report).

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Andra AP fonden cut its holdings in Lowe’s Companies, Inc. (NYSE:LOW – Free Report) by 43.8% during the 1st quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund owned 91,913 shares of the home improvement retailer’s stock after selling 71,607 shares during the quarter. Andra AP fonden’s holdings in Lowe’s Companies were worth $21,717,000 at the end of the most recent quarter.

A number of other hedge funds and other institutional investors have also recently added to or reduced their stakes in the stock. Natixis Advisors LLC boosted its position in shares of Lowe’s Companies by 3.5% in the fourth quarter. Natixis Advisors LLC now owns 630,956 shares of the home improvement retailer’s stock valued at $152,161,000 after acquiring an additional 21,119 shares during the period. Bridges Investment Management Inc. increased its stake in Lowe’s Companies by 6.1% in the fourth quarter. Bridges Investment Management Inc. now owns 446,441 shares of the home improvement retailer’s stock valued at $107,664,000 after acquiring an additional 25,609 shares during the period. Glenview Trust Co grew its stake in shares of Lowe’s Companies by 9.0% in the 4th quarter. Glenview Trust Co now owns 207,797 shares of the home improvement retailer’s stock valued at $50,112,000 after purchasing an additional 17,225 shares during the period. Kathmere Capital Management LLC grew its position in Lowe’s Companies by 133.9% in the first quarter. Kathmere Capital Management LLC now owns 9,402 shares of the home improvement retailer’s stock valued at $2,222,000 after acquiring an additional 5,383 shares during the period. Finally, LPL Financial LLC grew its holdings in shares of Lowe’s Companies by 2.3% in the 4th quarter. LPL Financial LLC now owns 993,332 shares of the home improvement retailer’s stock worth $239,552,000 after purchasing an additional 22,175 shares during the last quarter. Hedge funds and other institutional investors own 74.06% of the company’s stock.

Wall Street Analyst Weigh In A number of equities research analysts recently weighed in on the company. Royal Bank Of Canada dropped their price target on Lowe’s Companies from $264.00 to $232.00 and set a “sector perform” rating for the company in a report on Thursday, May 21st. HSBC dropped their price target on shares of Lowe’s Companies from $260.00 to $220.00 and set a “hold” rating for the company in a research note on Thursday, May 21st. Telsey Advisory Group cut their target price on Lowe’s Companies from $295.00 to $280.00 and set an “outperform” rating on the stock in a research note on Thursday, May 21st. Wells Fargo & Company cut their target price on shares of Lowe’s Companies from $260.00 to $255.00 and set an “overweight” rating on the stock in a report on Thursday, May 21st. Finally, UBS Group cut their price objective on Lowe’s Companies from $315.00 to $285.00 and set a “buy” rating on the stock in a report on Thursday, May 21st. Twenty-three research analysts have rated the stock with a Buy rating, eleven have given a Hold rating and two have given a Sell rating to the stock. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus target price of $264.57.

View Our Latest Research Report on Lowe’s Companies

Insider Buying and Selling at Lowe’s Companies In other Lowe’s Companies news, EVP Juliette Williams Pryor sold 9,330 shares of the business’s stock in a transaction that occurred on Wednesday, June 17th. The stock was sold at an average price of $224.81, for a total transaction of $2,097,477.30. Following the transaction, the executive vice president owned 16,142 shares of the company’s stock, valued at $3,628,883.02. The trade was a 36.63% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, EVP Margrethe R. Vagell sold 2,500 shares of the company’s stock in a transaction on Thursday, June 18th. The stock was sold at an average price of $223.83, for a total transaction of $559,575.00. Following the sale, the executive vice president directly owned 20,220 shares in the company, valued at $4,525,842.60. This trade represents a 11.00% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 25,980 shares of company stock worth $5,796,937 over the last ninety days. 0.29% of the stock is currently owned by corporate insiders.

Lowe’s Companies Stock Performance Shares of Lowe’s Companies stock opened at $204.76 on Tuesday. The firm has a market cap of $114.81 billion, a PE ratio of 17.31, a P/E/G ratio of 2.64 and a beta of 0.86. The business’s 50 day simple moving average is $216.62 and its 200 day simple moving average is $241.29. Lowe’s Companies, Inc. has a 52-week low of $203.40 and a 52-week high of $293.06.

Lowe’s Companies (NYSE:LOW – Get Free Report) last released its quarterly earnings results on Wednesday, May 20th. The home improvement retailer reported $3.03 earnings per share for the quarter, topping analysts’ consensus estimates of $2.97 by $0.06. The firm had revenue of $23.08 billion during the quarter, compared to the consensus estimate of $22.98 billion. Lowe’s Companies had a negative return on equity of 67.96% and a net margin of 7.51%.The business’s revenue was up 10.3% on a year-over-year basis. During the same quarter in the prior year, the firm posted $2.92 EPS. Lowe’s Companies has set its FY 2026 guidance at 12.250-12.750 EPS. As a group, equities research analysts predict that Lowe’s Companies, Inc. will post 12.48 EPS for the current year.

Lowe’s Companies Increases Dividend The firm also recently declared a quarterly dividend, which will be paid on Wednesday, August 5th. Shareholders of record on Wednesday, July 22nd will be given a dividend of $1.25 per share. This is a boost from Lowe’s Companies’s previous quarterly dividend of $1.20. The ex-dividend date of this dividend is Wednesday, July 22nd. This represents a $5.00 annualized dividend and a yield of 2.4%. Lowe’s Companies’s payout ratio is presently 40.57%.

About Lowe’s Companies (Free Report)

Lowe’s Companies, Inc is a leading home improvement retailer that operates large-format stores and digital channels serving both do-it-yourself homeowners and professional contractors. The company offers a broad assortment of products including building materials, lumber, appliances, tools and hardware, plumbing and electrical supplies, paint, flooring, kitchen and bath fixtures, outdoor and garden products, and home decor. Lowe’s also provides a range of services such as installation, home improvement financing, tool and equipment rental, and contractor-focused sales programs.

Operations are centered on a nationwide brick-and-mortar store network supported by distribution centers and an e-commerce platform that enables online ordering, delivery and in-store pickup.

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A $2,000 raise usually requires a boss, a performance review, or a new job. A dividend-growth portfolio can do it more quietly. Johnson & Johnson (NYSE:JNJ | JNJ Price Prediction) handed shareholders a small version of that raise in April when its board approved a 3% dividend increase to $1.34 per quarter, extending its streak to 64 consecutive years of higher payouts. Every share now produces about $0.16 more annual income than it did before the increase. Nothing had to be sold. No new shares had to be bought. The raise simply appeared because the business raised its payout.

That is the portfolio this article is sizing: one built to give you a roughly $2,000 annual income raise from dividend growth alone. The goal is not just a large first-year yield. It is a growing paycheck, where each year’s dividend increase applies to a larger income base and the raises can compound over time.

The Math of an Automatic Raise Your annual raise from a dividend portfolio equals your current dividend income multiplied by the dividend growth rate. A portfolio producing $30,000 in annual dividends that grows payouts 7% next year delivers a $2,100 raise.

A blended basket of high-quality dividend growers yielding around 2.7% and growing payouts around 7% a year would need roughly $1.06 million to generate a $2,000 annual raise. That portfolio would throw off about $28,600 in year-one income, and a 7% raise on that base is just over $2,000. The following year, the same percentage raise applies to a larger income figure, so the next dollar raise is bigger. That is the compounding hiding inside the boring stocks.

Three Ways to Reach the Same Raise Not every yield-and-growth combination gets you there efficiently. The tradeoff between current income and income growth reshapes the capital required.

The Dividend Growth Tier (2% to 3% yield, 6% to 8% annual raises). This is the home of Dividend Kings like Procter & Gamble (NYSE:PG), Coca-Cola (NYSE:KO), and Colgate-Palmolive. At a 2.8% yield growing dividends 7% a year, the capital required for a $2,000 raise is roughly $1.1 million. The dollar raise gets larger every year without adding new money. The Balanced Tier (4% to 6% yield, 3% to 5% annual raises). Utility stocks, high-dividend equity funds, REITs, and preferred shares offer higher current income, but raises typically match inflation. At a 5% yield growing 4% annually, you need about $1.0 million to hit a $2,000 raise. Future raises grow more slowly. The High-Income Tier (8% to 12% yield, flat or shrinking payouts). Covered-call ETFs, business development companies, and mortgage REITs pay a lot up front. They are useful for retirees who need cash today, but rarely deliver an annual raise. Your $2,000 raise must come from reinvesting distributions or adding new capital. Why the Slow Yield Wins the Long Game Lowe’s (NYSE:LOW) raised its quarterly dividend to $1.25 in 2026, up from $1.20 previously. That is the kind of raise dividend-growth investors are looking for: not a one-time yield spike, but a business that keeps increasing the cash it sends to shareholders. The exact return over any decade depends on the start date, end date, valuation, and whether dividends were reinvested.

Coca-Cola (NYSE: KO) raised its quarterly dividend to $0.53 in 2026, marking its 64th consecutive annual dividend increase. McDonald’s (NYSE: MCD) declared a $1.86 quarterly dividend in May 2026, compared with $0.89 per share in early 2016. Investors who bought durable dividend growers years ago can end up with much higher income on their original cost, but the result depends on the purchase price and the company’s ability to keep raising payouts.

Three Moves to Turn This Into a Plan Calculate your current portfolio’s weighted dividend growth rate over the past five years. If it is below 5%, you are holding too many mature, low-growth names and giving up future raises for slightly more current income. Compare a dividend growth basket with a broad high-yield fund side by side over the last decade by dollars of income delivered per $10,000 invested, not by yield. The gap surprises most people. With the 10-year Treasury near 4.5%, a 2.7% dividend that grows 7% crosses the Treasury coupon in dollar terms within about seven years and keeps climbing. Model that crossover in your own numbers before assuming bonds are the higher-income choice. The Raise That Compounds The $2,000 raise comes from the compounding math of owning businesses that can afford to raise their payouts year after year. It is not guaranteed, and it will not show up evenly across every holding. But when the portfolio is built around dividend growth rather than the biggest first-year yield, each raise applies to a larger income base.

That is the part high-yield screens often miss. A large starting check can solve today’s income problem, but a growing check is what turns a portfolio into something closer to an annual raise.

Contact [email protected] for any questions or corrections.

, /PRNewswire/ -- Habitat for Humanity International announced today that Lowe's has renewed its longstanding national partnership to support home repair and rehab projects undertaken by local Habitat affiliates. The renewed partnership will help more than 300 individuals remain in their homes.

Lowe's will fund grants supporting more than 200 projects across 20 Habitat for Humanity affiliates to address urgent needs that enhance the safety, health and resilience of owner-occupied homes. These investments support essential repairs such as roofing and HVAC, energy efficiency, accessibility and fall-prevention modifications and disaster preparedness upgrades that help homeowners remain safe in their homes.

This July, Lowe's will also help Habitat celebrate its 50th anniversary at 20 pop-up events at Lowe's stores across the U.S. These community engagement events will bring together families, volunteers, customers and local community members through hands-on activities and interactive build experiences designed to raise awareness of Habitat's mission, Habitat's 50th anniversary milestone and connect Lowe's customers with the opportunity to volunteer with Habitat.

"Our partnership with Habitat is rooted in helping our neighbors remain safe, independent and enjoy the homes they love. Together, over the last twenty years, we've helped build stronger homes, neighborhoods and communities," said Lindsey Haigler, Lowe's vice president of associate and community engagement. "We are thrilled to invite communities to our stores to celebrate Habitat's 50 years of impact and help connect neighbors with Habitat's important mission."

Lowe's and Habitat for Humanity have worked together for more than 20 years to help improve access to safe and affordable housing nationwide. Since the national partnership began in 2003, Lowe's has contributed more than $100 million to help more than 20,000 families improve their living conditions. Lowe's has also been a strong supporter of Habitat's Jimmy & Rosalynn Carter Work Project and has previously provided funding for Habitat's Cost of Home campaign, neighborhood revitalization and Women Build programs. Lowe's is currently supporting Habitat's Let's Open the Door campaign to help bring awareness of global housing need.

"It's with the support of partners like Lowe's that we can further our efforts to help homeowners improve their homes, as well as build stronger, more resilient communities," said Charlita Stephens-Walker, vice president of corporate partnerships and cause marketing at Habitat for Humanity International. "We are grateful to Lowe's for their ongoing support to help even more homeowners have a safe and strong place to call home."

About Habitat for Humanity

Habitat for Humanity is a movement of people in your local area and around the world, working together to build more prosperous and vibrant communities by making sure everyone has a safe, affordable place to call home. Since our founding in 1976 as a Christian organization, together we have helped more than 65 million people globally build their futures on their own terms through access to decent housing. We've done that by working alongside people of all walks of life to build, repair and finance their homes, by innovating new ways of building and financing, and by advocating for policies that make constructing and accessing housing easier for everyone. Together, we build homes, communities and hope. To learn more, visit habitat.org

About Lowe's

Lowe's Companies, Inc. (NYSE: LOW) is a FORTUNE® 100 home improvement company with total fiscal 2025 sales of more than $86 billion. Lowe's employs approximately 300,000 associates and operates over 1,750 home improvement stores, 540 branches and 120 distribution centers. Based in Mooresville, N.C., Lowe's supports the communities it serves through programs focused on creating safe, affordable housing, improving community spaces, helping to develop the next generation of skilled trade experts and providing disaster relief to communities in need. For more information, visit Lowes.com.

SOURCE Habitat for Humanity International

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A 10% dividend feels like a win because it solves the income problem with less capital. The arithmetic is seductive: $80,000 of annual income requires $800,000 at a 10% yield versus about $2.29 million at 3.5%. The catch shows up five, ten, and twenty years later. A fixed high yield may pay more today, but a lower yield that keeps growing can eventually become the stronger income stream.

One Income Target, Three Very Different Paths Anchor the math to $80,000 in annual investment income, close to the $68,391 per capita disposable income figure the BEA reported for Q1 2026. Three yield tiers can hit that number, and the tradeoffs are not close.

Conservative (3% to 4% yield): $80,000 divided by 0.035 equals $2,285,714. This is the home of dividend growth equities and broad market income funds. Payouts start modest and rise almost every year. Principal tends to appreciate alongside the income. Moderate (5% to 7% yield): $80,000 divided by 0.06 equals $1,333,333. Covered call ETFs, preferred shares, quality REITs, and high-dividend equity funds live here. Bigger check up front. Growth stalls, upside is often capped, and inflation quietly eats the payment. Aggressive (8% to 14% yield): $80,000 divided by 0.10 equals $800,000. Business development companies, mortgage REITs, and leveraged option-income funds. Largest current paycheck, with principal erosion and periodic distribution cuts as the price of admission. Why the Portfolio That Looks Too Expensive Usually Wins Now run the clock forward. A 3.5% portfolio growing its distributions 7% annually pays $80,000 today, roughly $157,000 in a decade, and about $310,000 in twenty years. A 10% high-yield portfolio paying the same $80,000 today still pays $80,000 in twenty years if distributions merely hold flat. Inflation turns that flat check into a smaller real income stream every year.

The compounding track records of large-cap growers make the point concrete. Johnson & Johnson (NYSE:JNJ | JNJ Price Prediction) has raised its payout for 64 consecutive years and just approved a 3.1% quarterly increase to $1.34 per share. Its dividend per share has climbed from $0.25 in Q1 1999 to $1.34 today.

Procter & Gamble (NYSE:PG) declared its 70th consecutive annual increase, lifting the quarterly payment to $1.0885. Coca-Cola (NYSE:KO) has taken its quarterly dividend from $0.16 in 1999 to $0.53 in 2026. Lowe’s (NYSE:LOW) grew its quarterly payment from $0.55 in 2020 to $1.25 in 2026, a roughly 15% compound annual rate. Even Microsoft, yielding under 1%, has grown its quarterly dividend from $0.13 in 2010 to $0.91 in 2026. Texas Instruments returned $6.0 billion to owners over the trailing twelve months while lifting its quarterly dividend to $1.42.

At today’s prices near $254 for J&J, $147 for P&G, $81 for Coca-Cola, $384 for Microsoft, $222 for Lowe’s, and $298 for Texas Instruments, yields cluster between 1% and 3%. Modest today. Compounding relentlessly.

The reason this beats a 10% headline yield over long horizons is arithmetic. The 10-year Treasury sits near 4.4%, a genuine risk-free alternative. High-yield equity strategies have to clear that hurdle and compensate for equity risk. Very few do it while also growing the payout.

Three Moves That Beat Scrolling Yield Tables Size the income need to actual retirement spending, not to the salary you used to earn. Household outflows in retirement typically run below pre-retirement wages. Replacing $65,000 requires roughly $1.86 million at 3.5%; replacing $120,000 requires $3.43 million. Getting the target right is more valuable than squeezing extra yield. Compare ten-year total returns, not starting yields. Pull a dividend growth ETF‘s ten-year total return against a high-yield covered call fund’s ten-year total return, distributions reinvested. That gap is usually the whole case. Reserve the aggressive tier for capital you can afford to spend down. BDCs, mortgage REITs, and leveraged option-income funds are legitimate income tools, but they behave more like high-yield fixed income cousins than compounding equity. Size them accordingly and do not confuse the paycheck with the principal. The Bigger Check Is Not Always the Better Income Plan A 10% yield can make retirement income look easy on paper. It lowers the capital requirement and delivers the biggest check on day one. But day one is not the test. The test is whether the income keeps its purchasing power after a decade of inflation, market cycles, and distribution changes. For long retirements, the best yield is not always the highest one. It is the one most likely to grow without quietly consuming the portfolio underneath it.

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An investor who bought Microsoft (NASDAQ:MSFT | MSFT Price Prediction) ten years ago paid closer to $50 per share than $45. Those shares now pay $3.64 per year in dividends, based on Microsoft’s current $0.91 quarterly payout. That is a yield on cost of roughly 7%, even though the stock’s current yield is about 1%. The starting yield helped, but the dividend growth did most of the work.

That is the advantage available to investors who do not need a portfolio paycheck yet. The job is not to maximize today’s yield. It is to own businesses that can turn modest current income into much larger future income while you keep working.

The Math When You Have Twenty Years Most income articles solve one equation: target income divided by yield equals capital required. Replace $80,000 a year and the answers split into tiers. At a 3.5% dividend-growth yield you need about $2.29 million. At a 6% covered-call or REIT yield you need roughly $1.33 million. At an 11% BDC or mortgage-REIT yield you need around $727,000.

The high-yield tier looks like the obvious answer. It usually is not, if you have time. A 3.5% portfolio raising distributions 8% per year doubles its income in about nine years and quadruples it in about eighteen. An 11% portfolio with flat or shrinking payouts stays where it started, or slowly bleeds. With the 10-year Treasury recently around 4.4% and headline PCE inflation at 4.1% in May 2026, a static yield loses ground in real terms every year it fails to grow.

What Two Decades Of Raises Actually Look Like The five companies below show what compounding can do to a modest starting payment. They are not recommendations by themselves, but their dividend records illustrate why time can matter more than current yield.

Johnson & Johnson (NYSE:JNJ) now pays $1.34 per quarter, after the board approved a 3.1% increase marking 64 consecutive years of dividend growth. Current yield: about 2.1%. Procter & Gamble (NYSE:PG) has paid dividends for 136 consecutive years and has increased them for 70 consecutive years. Its latest raise brought the quarterly dividend to $1.0885. Yield today: about 2.9%. Coca-Cola (NYSE:KO) raised its quarterly dividend to $0.53 in 2026, its 64th consecutive annual increase. The current yield is about 2.6%, and management guided to 8% to 9% comparable EPS growth in 2026. McDonald’s (NYSE:MCD) now pays $1.86 per quarter, or $7.44 annualized. Yield: about 2.7%. Lowe’s (NYSE:LOW) declared a $1.25 quarterly dividend payable in August 2026, a 4% increase from the prior $1.20 quarterly dividend. Yield: about 2.2%. None of these stocks needs a double-digit yield to make the case. The point is that a modest payout can become meaningful when the business keeps raising it and the investor has enough time to let the compounding work.

The Counterintuitive Part A 12% yield from a leveraged covered-call fund may pay more this year. The risk is that the distribution depends on option income, leverage, market volatility, and the fund’s net asset value, all of which can change. Meanwhile, a dividend-growth stock yielding 3% today and raising its payout 9% annually would reach a yield on cost above 10% by year fifteen. Microsoft’s 10-year total return was roughly 725%, while Lowe’s has also been a strong long-term compounder.

The trade is straightforward. You give up current income you do not need in exchange for a payment stream with a better chance to grow. If earnings and cash flow keep rising, the share price often follows, though neither dividend growth nor capital appreciation is guaranteed.

Two Moves Worth Making Now First, calculate the yield on cost a 7% dividend-growth rate produces on whatever you can invest today over your actual time horizon. A 3% starting yield growing 7% annually becomes about 5.9% on cost after 10 years and about 11.6% after 20 years, before taxes.

Second, separate the accounts when tax rules and account access make that practical. Holding dividend growers in a tax-advantaged account can let rising payments compound without annual taxable drag, while higher-yielding income assets may make more sense once you actually need cash rather than while you are still earning it.

Let Time Do the Heavy Lifting Dividend growth is not magic, and it is not guaranteed. But for investors who are still working, time changes the question. The best portfolio may not be the one with the largest check today. It may be the one that gives a modest check enough years to become a much larger one.

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A 12% yield looks unbeatable on day one. A retiree who wants $60,000 a year needs only about $500,000 at that yield, compared with roughly $1.7 million at a 3.5% yield. But retirement income is not a one-year problem. The better question is which income stream can hold up after inflation, market cycles, and years of withdrawals.

A 3.5% yield that grows 8% a year roughly doubles in nine years. A 12% yield that holds flat, or quietly erodes because a fund is returning capital instead of earning its distribution, does not. Run that difference forward for two decades, and the modest income stream can overtake the higher starting payout while leaving more principal intact.

The Hidden Engine in a Low Starting Yield The dividend growth snowball depends on two things working together: a payout that climbs every year, and a business that earns enough to keep climbing without strain. Several Dividend Kings and aristocrats put concrete numbers on the idea.

Johnson & Johnson (NYSE:JNJ | JNJ Price Prediction) raised its quarterly payout to $1.34 in 2026, extending its streak to 64 consecutive years of dividend increases. Its current annualized dividend is $5.36 per share, for a yield of about 2.1% based on a recent share price near $258. The key point is not the starting yield. It is the long record of rising cash payments backed by a large, profitable business.

Procter & Gamble (NYSE:PG) has paid a dividend for 136 consecutive years since its incorporation in 1890 and raised it for 70 consecutive years. Its quarterly payout is now $1.0885, or $4.354 a year, for a yield of about 2.9% based on a recent share price near $148.

Coca-Cola (NYSE:KO) Coca-Cola (NYSE: KO) yields about 2.6% on a quarterly payout of $0.53. McDonald’s (NYSE: MCD) now pays $1.86 a quarter. Lowe’s (NYSE: LOW) is another striking dividend-growth example, with its quarterly payout rising to $1.25 in 2026 after a 4% increase from $1.20.

Microsoft is the snowball from a different angle. The yield is about 1.0%, but the dividend has grown from $0.08 in 2003 to $0.91 a quarter in 2026. A buyer from a decade ago may now collect a much higher yield on original cost than today’s quoted yield, even though new buyers still see only a low starting payout.

What the Tiers Actually Cost If the income target is $80,000 a year, the equation income divided by yield gives the capital required at each tier.

Conservative, 3% to 4%. $80,000 divided by 0.035 equals roughly $2,286,000. This is the dividend growth tier: the names above, plus utilities and broad dividend equity funds. It requires the most capital, but it usually comes with a lower risk of an income cut and a better chance that the income stream can outrun inflation. The CPI-U reached 335.123 in May 2026, up 4.2% from a year earlier, so that matters.

Moderate, 5% to 7%. $80,000 divided by 0.06 equals roughly $1,333,000. Preferred shares, equity REITs in sectors like industrial and healthcare, midstream energy partnerships, and covered-call equity strategies live here. The starting income is higher, but dividend growth often slows or stalls.

Aggressive, 8% to 14%. $80,000 divided by 0.11 equals roughly $727,000. Business development companies, mortgage REITs, and leveraged option-income funds can clear the bar today. The trade-off is that distributions can be cut in recessions, and principal can erode if the payout is not fully supported by earnings and asset values.

Against a roughly 4.4% 10-year Treasury yield, the aggressive tier needs to clear a much higher hurdle than the headline yield suggests. Treasury investors still face inflation risk and price risk if they sell before maturity, but the income comparison starts from a government-backed benchmark with far less default risk than leveraged income funds.

The Snowball Math Worth Running Yourself At $80,000 of starting income and 8% annual dividend growth, the income reaches about $160,000 after nine annual increases. At 12% with no growth, the income still pays $80,000, assuming the distribution is not cut. Add potential share-price appreciation in the growth basket, and the long-term comparison can shift sharply away from the highest starting yield.

What to Check Before You Chase Income Use this stress test before reaching for yield:

Calculate actual annual spending rather than gross salary. Most households need to replace less than their working income once payroll taxes, retirement contributions, and some work-related expenses disappear.

Compare the ten-year total return of a dividend growth fund against a high-yield income fund using the same starting capital and reinvested distributions.

Within five years of retirement, model the tax bill at each tier in your bracket. Qualified dividends are taxed at long-term capital gain rates, while ordinary dividends are taxed as ordinary income.

The snowball is unglamorous in year one because the income gap is real. But over a long retirement, a payout that can rise year after year may be more valuable than a high yield that cannot grow. The right portfolio does not have to choose one extreme. It has to balance today’s income with tomorrow’s staying power.

Contact [email protected] for any questions or corrections.

As the housing market continues to evolve in 2026, investors are weighing two retail titans. Both Home Depot (HD 1.88%) and Lowe's Companies (LOW 1.57%) offer unique paths for growth, but which is the better buy?

Home Depot leads the market with a massive footprint and a sophisticated ecosystem designed for professional contractors. Lowe's has historically focused on do-it-yourself homeowners but is now aggressively expanding its reach into the professional segment. These companies are frequent comparisons because they dominate the home improvement landscape while employing slightly different growth strategies.

The case for Home DepotHome Depot sells a wide range of building materials and home improvement products to both do-it-yourselfers and professional contractors. The company has focused heavily on its "Pro" ecosystem, acquiring specialty businesses such as SRS and GMS to better serve trade professionals. These efforts aim to make the company a one-stop shop for large-scale renovation and roofing projects among retail stocks. This professional focus helps the business capture more predictable, high-value spending compared to individual DIY projects.

In FY 2025, sales touched $164.7 billion, representing approximately 3.2% growth over the prior year. The company reported net income of $14.8 billion for the same period.

As of its February 2026 balance sheet, the debt-to-equity ratio was nearly 5.1x. This means the company's total debt is 5.1 times its shareholders’ equity. Free cash flow, which is cash from operations minus capital expenditures, was nearly $12.7 billion for the year.

The case for Lowe's Lowe's serves individual homeowners and renters while also making a concerted push to capture more of the professional market. Through the 2025 acquisitions of Foundation Building Materials and Artisan Design Group, the company expanded its branch network to better distribute building supplies. Its strategy balances the needs of homeowners seeking design services with the requirements of property managers and commercial professionals who demand high-volume availability.

For FY 2025, revenue was about $86.3 billion, an increase of 3.1% year over year. The company generated net income of nearly $6.7 billion during this fiscal period.

As of the January 2026 balance sheet, the debt-to-equity ratio was nearly -4.5x. This negative figure indicates that the company's total liabilities exceed its shareholder equity. Free cash flow was $7.7 billion, representing the actual cash a business generates after accounting for the costs of maintaining its physical assets.

Risk profile comparisonHome Depot faces significant risks from cybersecurity breaches and regulatory scrutiny regarding data privacy. Recent legal challenges have targeted its use of AI surveillance technologies, such as facial recognition in stores, which may pose reputational risks. It also faces intense competition from traditional retailers and digital-first platforms like Amazon.com Inc (AMZN +1.22%).

Sales at Lowe’s are sensitive to macroeconomic factors, such as interest rates and inflation, that affect the housing market. A downturn in housing turnover or consumer discretionary spending could lead to decreased demand for home improvement projects. The company also faces operational risks as it integrates large acquisitions and undergoes a multi-year technology transformation to update its information systems.

Valuation comparisonLowe's appears to be the more affordable option, given its lower earnings and sales multiples relative to Home Depot and the broader sector. The Forward P/E ratio measures the current stock price against future earnings estimates to show how much you pay for every dollar of expected profit. The P/S ratio compares the company’s total market value to its annual sales.

MetricHome DepotLowe's CompaniesSector BenchmarkForward P/E24x18.1x93.7xP/S ratio2.1x1.4xSector benchmark uses the SPDR XLY sector ETF.
Valuation metrics sourced from Financial Modeling Prep (FMP) and may differ from other data providers.

Which stock would I buy in 2026?Both big-box stores have essentially created a duopoly in home improvement sales, although regional and local specialists in lumber, kitchen, bath, and outdoor continue to occupy a sizable niche in the marketplace.  Home Depot and Lowe’s are constantly looking for an edge to both grow sales and expand profits, given how much of their offerings are commoditized by the other.

For Home Depot, growth is sought in two ways. The business recently acquired Mingledorff’s, a leading wholesale distributor of HVAC products, giving Home Depot a larger foothold in HVAC. At the store level, Home Depot is granting stores greater authority to offer more customization to better engage customers and build loyalty. Is it working? A bit: analysts see the chain increasing sales by close to 4% and net income a little over 1% in fiscal 2026.

Lowe’s, meanwhile, is seen as growing its sales by about 8% and net income by around 2.5% in 2026. Lowe’s is also pushing to improve the customer experience, noting that first-quarter 2026 sales rose 10% on the strength of initiatives to bring in more contractor customers. With that, the company is rolling out an AI-assisted tool that allows a contractor to bring in any form of input — a PDF, a photo, a handwritten note — and it will identify their needs. Management says it will shift the fulfillment of pro orders from days to hours.

So which is the better buy? Both are businesses of scale. Lowe’s has a smaller revenue base, so it should naturally be able to grow faster than Home Depot. It is also cheaper on a price-to-sales and forward price-to-earnings basis. Lowe’s enduring reputation as the higher-quality outlet for DIY homeowners should give it an edge, too, if the economy remains mixed for most American consumers.

When deciding whether to buy, sell, or hold a stock, investors often rely on analyst recommendations. Media reports about rating changes by these brokerage-firm-employed (or sell-side) analysts often influence a stock's price, but are they really important?

Before we discuss the reliability of brokerage recommendations and how to use them to your advantage, let's see what these Wall Street heavyweights think about Lowe's (LOW - Free Report) .

Lowe's currently has an average brokerage recommendation (ABR) of 1.73, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 31 brokerage firms. An ABR of 1.73 approximates between Strong Buy and Buy.

Of the 31 recommendations that derive the current ABR, 20 are Strong Buy and one is Buy. Strong Buy and Buy respectively account for 64.5% and 3.2% of all recommendations.

Brokerage Recommendation Trends for LOW

Check price target & stock forecast for Lowe's here>>>

The ABR suggests buying Lowe's, but making an investment decision solely on the basis of this information might not be a good idea. According to several studies, brokerage recommendations have little to no success guiding investors to choose stocks with the most potential for price appreciation.

Do you wonder why? As a result of the vested interest of brokerage firms in a stock they cover, their analysts tend to rate it with a strong positive bias. According to our research, brokerage firms assign five "Strong Buy" recommendations for every "Strong Sell" recommendation.

This means that the interests of these institutions are not always aligned with those of retail investors, giving little insight into the direction of a stock's future price movement. It would therefore be best to use this information to validate your own analysis or a tool that has proven to be highly effective at predicting stock price movements.

Zacks Rank, our proprietary stock rating tool with an impressive externally audited track record, categorizes stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), and is an effective indicator of a stock's price performance in the near future. Therefore, using the ABR to validate the Zacks Rank could be an efficient way of making a profitable investment decision.

Zacks Rank Should Not Be Confused With ABRIn spite of the fact that Zacks Rank and ABR both appear on a scale from 1 to 5, they are two completely different measures.

The ABR is calculated solely based on brokerage recommendations and is typically displayed with decimals (example: 1.28). In contrast, the Zacks Rank is a quantitative model allowing investors to harness the power of earnings estimate revisions. It is displayed in whole numbers -- 1 to 5.

It has been and continues to be the case that analysts employed by brokerage firms are overly optimistic with their recommendations. Because of their employers' vested interests, these analysts issue more favorable ratings than their research would support, misguiding investors far more often than helping them.

On the other hand, earnings estimate revisions are at the core of the Zacks Rank. And empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.

Furthermore, the different grades of the Zacks Rank are applied proportionately across all stocks for which brokerage analysts provide earnings estimates for the current year. In other words, at all times, this tool maintains a balance among the five ranks it assigns.

Another key difference between the ABR and Zacks Rank is freshness. The ABR is not necessarily up-to-date when you look at it. But, since brokerage analysts keep revising their earnings estimates to account for a company's changing business trends, and their actions get reflected in the Zacks Rank quickly enough, it is always timely in indicating future price movements.

Should You Invest in LOW?Looking at the earnings estimate revisions for Lowe's, the Zacks Consensus Estimate for the current year has remained unchanged over the past month at $12.48.

Analysts' steady views regarding the company's earnings prospects, as indicated by an unchanged consensus estimate, could be a legitimate reason for the stock to perform in line with the broader market in the near term.

The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #3 (Hold) for Lowe's. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>

It may therefore be prudent to be a little cautious with the Buy-equivalent ABR for Lowe's.

Wall Street had Lowe’s pegged as the next dividend story to wobble. Rising rates, a softer housing turnover backdrop, and a sluggish DIY consumer set up a narrative where management would have to choose between defending the balance sheet and defending the payout. Then on May 29, 2026, the board declared a $1.25 quarterly dividend, raising the payout from the $1.20 level held through Q1 2026 and Q4 2025. The check goes out August 5, 2026. The bears now have to explain why the cash flow statement disagrees with them.

Here is the framework: a dividend cut thesis on Lowe’s (NYSE:LOW | LOW Price Prediction) requires three things to be true at once. Free cash flow has to be compressing toward the payout. Earnings power has to be deteriorating faster than management can offset. And the board has to lose confidence in the medium-term recovery. Look at the numbers, and none of those three boxes get checked.

The Cash Flow Math Does Not Support a Cut Lowe’s generated $9.86 billion in operating cash flow and $7.65 billion in free cash flow in the fiscal year ended January 2026. The dividend cost the company $2.64 billion. That is 2.9x FCF coverage, in line with the 3.0x prior year and ahead of the 2.4x two years before that. Coverage is stable and holding.

On a per-share basis, trailing diluted EPS is $11.84 against an annualized dividend of $4.80. That puts the earnings payout ratio in the low-40s. Even on management’s own FY2026 adjusted EPS range of $12.25 to $12.75, the new $5.00 annualized run-rate would still leave roughly 60% of earnings retained. Dividend Kings have been cut from far tighter spots than this.

Management Backed Up the Truck Where It Counts The capital allocation signal worth watching is the mix. In FY2026, buybacks collapsed to $211 million from $4.05 billion the year before, while dividends grew. That is a defensive rotation, and it remains a rotation toward the most contractually visible return. Management is funneling shareholder returns into the most contractually visible form of cash distribution while building flexibility against the macro.

CFO Brandon Sink laid out the balance sheet plan on the Q1 call: “In the quarter, we paid $674 million in dividends at $1.20 per share. We also repaid $2.4 billion in bond maturities as we continue progressing towards our commitment to deleverage and return to a 2.75x leverage ratio by mid-2027.” Companies that are worried about dividend sustainability do not simultaneously commit $2.5 billion of full-year capex and accelerate debt paydown. They hoard.

Twenty-Six Years of Increases Is Not an Accident The dividend has risen every single year from 1999 through 2026, putting Lowe’s solidly in Dividend Aristocrat territory and within the broader Dividend King conversation. Annual per-share dividends went from $0.12 in 1999 to $4.70 in 2025. The 2022 jump from $3.00 to $3.95 happened straight through the post-pandemic inventory unwind. The 2026 raise happened with CEO Marvin Ellison calling this “the most difficult housing market I’ve faced in this business since the financial crisis”. Track record matters, and this one says management raises through pain, not just through prosperity.

What the Bears Are Right About The macro is genuinely ugly. Housing starts fell to 1.18 million in May 2026, down 15% from April and sitting at the boundary between healthy and weak. Existing home sales at 4.17 million remain in the soft zone the market has been stuck in since 2023. Ellison himself acknowledged the structural pressure: “With roughly 60% to 65% of our revenue coming from DIY and still being able to deliver positive comps, we take that as a win.” When the win bar is positive comps at all, you are not in a growth market.

Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and Lowe's didn't make the cut. Grab the names FREE today.

Q1 reinforced the caution. Revenue of $23.1 billion grew 10% YoY, but that includes the FBM and ADG acquisitions. Organic comparable sales rose only 1%, and adjusted EPS of $3.03 missed the $3.06 consensus. Gross margin compressed 70 basis points to 33%. Bears have the headwinds right. They are simply drawing the wrong conclusion about how Lowe’s responds to them.

The Insider Tell The insider tape is the one place where the cut thesis finds oxygen. In mid-June 2026, after the dividend raise was announced, EVP and CLO Juliette Pryor disposed of 19,768 shares across two transactions at roughly $220 to $225, and EVP of HR Janice Dupre sold 14,150 shares at $221.90. That is meaningful for two senior executives to do simultaneously, even allowing for 10b5-1 plans.

Cutting the other way: CEO Ellison net-acquired 29,417 shares on April 1 through RSU vesting after selling a portion for taxes, and no executive has bought open-market shares. The signal reads as ambiguous overall.

The Verdict on the Scorecard Grading the dividend on the metrics that matter:

Yield: 2%. Below the S&P average but rising. C+. Coverage: 2.9x FCF, payout ratio in the low-40s on earnings. A. Growth streak: 26+ consecutive years of annual increases. A+. Recent raise: Roughly 4% bump from $1.20 to $1.25, in a tough macro. A-. Balance sheet trajectory: Deleveraging to 2.75x by mid-2027 from 3.1x. B+. Net grade: A-. The yield alone holds the composite back, while durability remains intact.

What to Watch Next The stock is down 7% year to date and trades at 19 times trailing earnings with a forward multiple of 18. The $263.73 consensus analyst target sits well above the $220 area, and the 200-day moving average of $244.33 marks the gap shorts have been pressing.

If existing home sales can break above 4.5 million and mortgage rates normalize, the operating margin guide of 12% looks conservative and the dividend has clear runway to keep compounding. If housing turnover stays locked up through 2027, growth slows but the payout still gets funded out of the existing FCF base. Wall Street is betting on the worse outcome. The cash flow statement and 26 years of board behavior say management has earned the benefit of the doubt.

Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and Lowe's didn't make the cut. Grab the names FREE today.

Contact [email protected] for any questions or corrections.

Are you in retirement or close to it? Are you an investor that appreciates the idea of receiving a check in your brokerage account every quarter? If this sounds like you, then maybe it's time to consider companies with impressive dividend policies.

Businesses with excess cash sometimes return capital to shareholders in the form of dividends. These are usually stable companies with established economic moats.

While investors shouldn't expect to generate market-beating returns from owning these kinds of businesses, they can provide your portfolio with a solid income stream. Here are the smartest dividend stocks to buy with $3,000 right now.

Image source: Getty Images.

Coca-Cola The first dividend stock to buy is Coca-Cola (KO +2.75%), the world's leading beverage company with a presence in over 200 countries and territories. This isn't an exciting business, but that's a feature. Coca-Cola doesn't face any threat of disruption. It has stood the test of time, which arguably makes it one of the safest stocks to own.

Investors should pay attention to profits. Since Coca-Cola outsources bottling and distribution, it's able to post sizable earnings. The company's operating margin in Q1 (ended April 3) was a superb 35%. The bottom-line figure is supported by a history of pricing power, which is due to customer loyalty.

Coca-Cola's success isn't impacted much by the changing economic winds. Its performance is healthy regardless of macro conditions like inflationary pressures or interest rate trends. This essentially eliminates the risk of a dividend cut, as demand is steady.

In February, the company's board of directors approved a 4% dividend increase, marking the 64th straight year that a hike was put in place. Coca-Cola shares currently pay a dividend yield of 2.64%.

Lowe's The next stock on this list is home improvement giant Lowe's (LOW +0.25%). Based on revenue, it's significantly smaller than industry leader Home Depot. But the company's scale, name recognition, and omnichannel capabilities give it durable competitive strengths in a large market.

Starting in August, Lowe's will pay an annualized dividend of $5, translating to a yield of 2.25%. The business has now raised its dividend in more than 25 consecutive years. This is a clear indication of the management team's focus on shareholder capital returns.

What's even more encouraging for investors is that Lowe's is sticking to its commitment, even though the business has struggled in recent years. Higher interest rates, elevated inflation, and low housing turnover have all hurt demand, which makes this a cyclical stock. Same-store sales were up just 0.6% in the latest fiscal quarter (Q1 2026 ended May 1).

However, in the past decade, Lowe's has posted an average quarterly operating margin of 11%. It also collects meaningful free cash flow, providing the resources needed to fund ongoing dividends.

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Procter & Gamble Procter & Gamble (PG +0.75%) is the final dividend stock investors should consider as part of a total $3,000 capital outlay. Generating $21.2 billion in revenue for Q3 2026 (ended March 31), this is a massive consumer goods enterprise. It sells well-known household items like Old Spice, Oral-B, and Downy, holding leadership positions in these end markets.

This is a mature business. In the past 10 years, net sales have only risen by 34%. So it's no surprise that management doesn't have many opportunities to reinvest in growth initiatives. This also explains why profits are so high, as the net margin was 18.4% in the most recent quarter.

That's also why dividends are such an integral part of the capital allocation policy. Procter & Gamble's dividend yield of 2.93% is the highest of the three stocks on this list. It also excels in another critical area. The company's dividend has been paid in a mind-boggling 136 straight years. If history is any indication, the quarterly payout is never going away.

Home Depot Inc (HD +0.62%) and Lowe's Companies (LOW +0.22%) remain the undisputed titans of the home improvement world as they compete for dominance in a shifting economic landscape. Choosing between them requires a look at their distinct strategies and valuations.

While both companies sell building materials and tools, they target slightly different customer bases and utilize unique growth initiatives. This comparison examines their financial health, risk factors, and current stock valuations to help you decide which is the stronger buy today.

The case for Home DepotHome Depot focuses on serving homeowners, professional contractors, and those who need assistance with installation projects. The company uses an interconnected retail model to reach customers among retail stocks through both physical stores and digital platforms. Recent acquisitions of specialty distributors like SRS and GMS have expanded its reach to roofing and landscaping professionals.

In FY 2025, revenue reached $164.7 billion, representing approximately 3.2% growth over the prior year. The company reported net income of $14.8 billion for the same period.

As of its February 2026 balance sheet, the debt-to-equity ratio was nearly 5.1x. This means the company's total debt is 5.1 times its shareholders’ equity. Free cash flow, which is cash from operations minus capital expenditures, was nearly $12.7 billion for the year.

The case for Lowe's CompaniesLowe's targets a mix of homeowners, renters, and professional customers through its Total Home strategy. The company aims to provide a comprehensive solution for all home improvement needs by offering products for every room in the house. Recent acquisitions like Foundation Building Materials help it reach larger professional construction markets that were previously underserved by its traditional retail model.

For FY 2025, revenue was approximately $86.3 billion, an increase of about 3.1% year over year. The company generated net income of nearly $6.7 billion during this fiscal period.

As of the January 2026 balance sheet, the debt-to-equity ratio was nearly -4.5x. This negative figure indicates that the company's total liabilities exceed its shareholder equity. Free cash flow was $7.7 billion, representing the actual cash a business generates after accounting for the costs of maintaining its physical assets.

Risk profile comparisonHome Depot faces legal risks, including a 2026 class action lawsuit over the use of AI-powered license plate readers in its in-store parking lots. The company also deals with complex supply chain issues and geopolitical tensions that can impact product costs. Integration risks exist as it incorporates large acquisitions like SRS, while competitors like Amazon.com Inc (AMZN 3.38%) pressure its digital evolution.

Lowe's is highly sensitive to macroeconomic shifts such as interest rates and housing turnover, which drive renovation demand. The company is currently transforming its supply chain network, and any execution failures could lead to inventory shortages or delivery delays. It also faces cybersecurity threats and intense competition from other large chains and Amazon in the digital space.

Valuation comparisonLowe's appears to be the more affordable option based on its lower Forward P/E, which compares the stock price to future earnings estimates. Lowe's also carries a lower P/S ratio, which measures stock price against total revenue.

MetricHome DepotLowe's CompaniesSector BenchmarkForward P/E21.7x17.1x28.6xP/S ratio2.0x1.4xSector benchmark uses the SPDR XLY sector ETF.
Valuation metrics sourced from Financial Modeling Prep (FMP) and may differ from other data providers.

Both Home Depot and Lowe’s are household names in the home improvement industry, drawing professional contractors and do-it-yourselfers to their big-box stores.

Their retail model means margins are thin, with each company constantly looking for an edge to both grow sales and expand profits.

For Home Depot, that is coming in two ways. The business recently acquired Mingledorff’s, a leading wholesale distributor of HVAC products, giving Home Depot a greater foothold in the sector. At the store level, Home Depot is transferring the power to do more customization to stores in an attempt to better engage customers and generate more loyalty. Is it working? A bit. Walk Street analysts see the chain increasing sales by close to 4% and net income a little over 1% in fiscal 2026.

Lowe’s, meanwhile, is seen as growing its sales by about 8% and net income around 2.5% in 2026. Lowe’s is also pushing to improve the customer experience, noting that first-quarter 2026 sales rose 10% on the strength of initiatives such as its focus on attracting more contractor customers. As part of that, the company is rolling out an AI-assisted tool that allows a contractor to bring in any form of input — a PDF, a photo, a handwritten note — and it will identify their needs. Management says it will shift the fulfillment of pro orders from days to hours.

So which is the better buy? Both are businesses of scale. Lowe’s has a smaller revenue base, so it should naturally be able to grow faster than Home Depot. It is also simply cheaper on a price-to-sales and forward price-to-earnings basis. Buy good companies at good prices, as the saying goes. The choice is Lowe’s.

It has been about a month since the last earnings report for Lowe's (LOW - Free Report) . Shares have added about 2.2% in that time frame, outperforming the S&P 500.

But investors have to be wondering, will the recent positive trend continue leading up to its next earnings release, or is Lowe's due for a pullback? Well, first let's take a quick look at its latest earnings report in order to get a better handle on the recent catalysts for Lowe's Companies, Inc. before we dive into how investors and analysts have reacted as of late.

Lowe’s Q1 Earnings Beat on Pro Momentum & Strong Spring ExecutionLowe’s reported first-quarter fiscal 2026 results, wherein both earnings and sales surpassed the Zacks Consensus Estimate. The home improvement retailer delivered another quarter of positive comparable sales growth, driven by strong spring execution, continued momentum in the Pro and online businesses, and solid demand across appliances and home services.

Management has highlighted that Lowe’s Total Home strategy continues to resonate with both Pro and DIY customers despite a challenging housing backdrop. The company has also reaffirmed its fiscal 2026 outlook, reflecting confidence in strategic initiatives, productivity improvements and ongoing market-share gains.

LOW’s Quarterly Performance: Key Metrics & InsightsAdjusted earnings were $3.03 per share, rising 3.8% year over year and beating the Zacks Consensus Estimate of $2.96 by 2.4%. On a reported basis, earnings per share came in at $2.90 compared with earnings of $2.92 in the prior-year quarter. Results included $96 million in pre-tax expenses tied to the acquisitions of Foundation Building Materials and Artisan Design Group.

Net sales came in at $23.1 billion, rallying 10.3% from the year-ago quarter and surpassing the consensus mark of $22.9 billion by 0.6%. The upside was fueled by a 0.6% increase in comparable sales and was supported by strong spring demand, continued strength in Pro sales and a robust 15.5% increase in online sales. Appliances and home services also remained key growth contributors during the quarter.

Lowe’s Sees Margin Pressure Despite Higher SalesGross profit increased 8% to $7.54 billion from $6.99 billion in the prior-year quarter. The gross margin for the quarter was 32.7%.

Selling, general and administrative expenses increased 9.3% to $4.42 billion from $4.05 billion in the prior-year period. However, SG&A expenses, as a percentage of sales, improved 10 basis points year over year to 19.2%. Depreciation and amortization expenses rose to $566 million from $446 million a year ago.

Consequently, operating income increased 2.4% to $2.55 billion from $2.49 billion in the prior-year quarter. However, the operating margin contracted 80 basis points year over year to 11.1%.

Lowe’s Cash Flow & Capital Returns Stay in FocusThe company ended the quarter with cash and cash equivalents of $786 million compared with $3.05 billion in the year-ago period. Long-term debt, excluding current maturities, was $36.75 billion. Merchandise inventory stood at $18.5 billion.

Net cash provided by operating activities totaled $3.35 billion during the quarter compared with $3.38 billion in the prior-year period. Capital expenditure was $521 million. During the quarter, Lowe’s paid out $674 million in dividends and repurchased $363 million worth of common stock.

LOW Reaffirms FY26 OutlookLowe’s reaffirmed its fiscal 2026 guidance and expects total sales between $92 billion and $94 billion, indicating year-over-year growth of 7-9%. Comparable sales are anticipated to be flat to up 2%.

The company projects the operating margin between 11.2% and 11.4%, while the adjusted operating margin is expected to be 11.6-11.8%. Lowe’s expects earnings per share of $11.75-$12.25 and adjusted earnings per share of $12.25-$12.75. Capital expenditure is expected to rise to $2.5 billion.

How Have Estimates Been Moving Since Then?It turns out, fresh estimates have trended downward during the past month.

VGM ScoresAt this time, Lowe's has a nice Growth Score of B, though it is lagging a lot on the Momentum Score front with an F. However, the stock has a grade of C on the value side, putting it in the middle 20% for this investment strategy.

Overall, the stock has an aggregate VGM Score of C. If you aren't focused on one strategy, this score is the one you should be interested in.

OutlookEstimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Interestingly, Lowe's has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.

Performance of an Industry PlayerLowe's belongs to the Zacks Retail - Home Furnishings industry. Another stock from the same industry, Home Depot (HD - Free Report) , has gained 6.5% over the past month. More than a month has passed since the company reported results for the quarter ended April 2026.

Home Depot reported revenues of $41.77 billion in the last reported quarter, representing a year-over-year change of +4.8%. EPS of $3.43 for the same period compares with $3.56 a year ago.

For the current quarter, Home Depot is expected to post earnings of $4.71 per share, indicating a change of +0.6% from the year-ago quarter. The Zacks Consensus Estimate has changed -0.2% over the last 30 days.

Home Depot has a Zacks Rank #3 (Hold) based on the overall direction and magnitude of estimate revisions. Additionally, the stock has a VGM Score of C.

Lennar (LEN +5.54%) saw fiscal second-quarter home deliveries increase 2% to 20,519. However, the homebuilder reported a lower average sales price of $371,000, including nearly 13% in incentives and base-price "adjustments" designed to boost demand amid affordability issues. It's the lowest price reported in several years. The results were for the period ended March 31.

However, while that suggests a tough economy, making homes more affordable should carry over to existing homes and boost unit sales across the board. In May, the National Association of Realtors' Housing Affordability Index registered 105.6, an improvement from 97.5 in the year-ago period (higher numbers indicate greater affordability). The index measures the affordability of existing home sales.

While it may play out over time, reduced home prices will benefit the home improvement sector, and its leading retailer, Home Depot (HD +2.63%).

Image source: Getty Images.

Spurring home sales Lower prices should boost existing home sales, although no one can predict the exact timing. That's good for Home Depot.

When people buy homes, they tend to take on projects, including major renovations. After all, they want the house to suit their tastes.

Sluggish home sales and the lack of big projects have hurt Home Depot's sales. The company's fiscal first-quarter same-store sales increased by a tepid 0.4% and were flat globally after removing foreign-currency translation effects. The results were for the period that ended on May 3. Management expects just flat to 2% comps growth for the year.

CEO Ted Decker cited consumer uncertainty and housing affordability as factors influencing home improvements. Management noted that homeowners took on smaller projects rather than major renovations.

Borrowing costs High interest rates have also tempered homebuying and home improvement demand. In the wake of the Iran war and spike in oil prices, long-term interest rates increased, affecting mortgage rates.

The 30-year fixed-rate mortgage rate was 6.47% for the week ending on June 18, according to Freddie Mac data. At the end of February, before hostilities broke out, the average mortgage rate was 5.9%.

All else equal, and assuming home prices don't increase, this trend should boost homebuying demand. That's because lower mortgage rates translate into a lower monthly payment. That's another component that would make buying a house more affordable.

Patient investing approach Of course, lower home prices won't immediately boost homebuying demand. It takes time to work through the process. But it remains basic economics: lower prices equate to higher demand. In turn, people take on major home improvement projects, as they've always done.

Why will that benefit Home Depot? After all, people who do their own work or hire professional contractors have many choices.

Home Depot remains the largest home-improvement retailer, providing shoppers with attractive prices, a wide range of products and services, and convenience. Its $165 billion in annual sales dwarf those of its nearest competitor, Lowe's (LOW +2.29%).

Management has also taken steps to broaden its reach among professional contractors. This includes acquiring SRS Distribution for $18.3 billion in 2024 and subsequently purchasing GMS for $5.5 billion.

Meanwhile, investors have sent the share price down, but this has been due to short-term economic concerns. Home Depot's stock dropped 2.9% this year through June 18 compared to the S&P 500 index's 9.6% gain.

Today's Change

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This presents a buying opportunity for those patient enough to wait out the economic situation, which shows positive initial signs for Home Depot. The shares trade at a price-to-earnings (P/E) ratio of 24 compared to 28 earlier this year. Large-cap stocks, measured by the S&P 500, have a P/E ratio of 32.

With an attractive valuation and a more favorable economic outlook, Home Depot shares should rebound, rewarding patient investors.

On June 22, 2026, Lowe's Companies Inc LOW shares fell 3.5% today to a current price of $214.40. Over the last week, the stock has decreased by 2.6%, and it has dropped 10.3% year-to-date. The shares have experienced significant volatility over the past 52 weeks, with a high of $293.06 and a low of $203.40.

GF Value™ verdict: The current price of $214.40 is 14.0% below the GF Value™ estimate of $249.28, indicating that the stock is undervalued.GF Score™: With a score of 84/100, Lowe's demonstrates strong overall performance and potential for long-term returns.Most notable signal: Insider selling activity has been noted, with insiders selling $5.2 million in the last three months. Is LOW Overvalued or Undervalued? Based on the current price of $214.40 compared to the GF Value™ estimate of $249.28, Lowe's appears to be undervalued by 14.0%. This margin of safety presents an opportunity for potential investors, as the stock is trading below its estimated intrinsic value. The GF Valuation label categorizes Lowe's as modestly undervalued, suggesting that there is room for price appreciation in the future if the company's fundamentals remain strong.

However, it is important to consider the risks associated with investing in a stock that has seen a decline in price year-to-date and recent insider selling activity. GF Value™ is GuruFocus' proprietary measure of intrinsic value, calculated from historical trading multiples, past business growth, and future performance estimates, which reinforces the notion that the current valuation may not fully reflect the company's potential.

How Does LOW's Valuation Compare to Its History? MetricCurrentHistorical P/E (TTM)18.1x19.8x Forward P/E17.1xN/A The current P/E (TTM) of 18.1x is 8% below its 5-year median P/E of 19.8x, indicating that the stock is trading below its historical valuation multiples. This P/E analysis aligns with the GF Value™ verdict, further substantiating the claim that Lowe's is undervalued at its current price. The forward P/E of 17.1x also suggests a more favorable valuation outlook for the upcoming period.

What Does LOW's GF Score™ Tell Us? MetricRating GF Score™84 Financial Strength4/10 Profitability9/10 Growth7/10 Valuation10/10 Momentum5/10 Lowe's GF Score™ of 84/100 indicates strong potential for long-term returns. The strongest area is its profitability rank of 9/10, suggesting efficient operations and high margins. Conversely, the financial strength score of 4/10 highlights some weaknesses in the company's balance sheet, which may warrant further scrutiny. The valuation rank of 10/10 supports the notion of the stock being undervalued, while a momentum rank of 5/10 suggests that the stock's price performance could improve.

What Are Insiders Doing with LOW Stock? In the past three months, insiders have sold $5.2 million worth of Lowe's stock, with no reported insider buying. This trend of insider selling may raise concerns about the company's near-term prospects, as insiders typically possess valuable insights into the business's health. The absence of insider purchases could also suggest a lack of confidence among executives regarding the company's stock performance in the immediate future.

What This Means for Investors Based on the analysis of GF Value™, Lowe's Companies Inc LOW is currently considered undervalued, presenting a potential opportunity for investors. However, caution is warranted due to the recent insider selling and overall price decline.

For the complete analysis, visit the Lowe's Companies Inc LOW stock page. You can also explore the GF Value™ page for detailed valuation methodology, or use the GuruFocus Stock Screener to find similar opportunities.

Frequently Asked Questions What is LOW's GF Score™?

The GF Score™ for Lowe's is 84/100, indicating strong overall performance and the potential for higher long-term returns based on historical backtests.

Is LOW overvalued or undervalued?

Lowe's is currently undervalued, with a GF Value™ estimate of $249.28 compared to its current price of $214.40.

What is LOW's P/E ratio?

Lowe's current P/E (TTM) is 18.1x, which is 8% below its historical 5-year median P/E of 19.8x, suggesting it is trading at a favorable valuation compared to its past performance.

This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].

Key Takeaways Home Depot leads in scale, Pro strength, market share gains and an addressable market near $1.2T.Lowe's is gaining share through Total Home, Pro initiatives, home services and digital investments.Home Depot has more stable EPS estimates, while Lowe's trades at a lower forward P/E valuation. The rivalry between The Home Depot Inc. (HD - Free Report) and Lowe’s Companies Inc. (LOW - Free Report) defines the U.S. home improvement retail market. As the industry’s two largest players, both companies serve do-it-yourself shoppers, professional contractors and homeowners seeking tools, building materials, appliances, décor and renovation solutions. Yet their market positions are not identical.

Home Depot remains the clear leader, supported by greater scale, a stronger professional customer base and higher sales productivity. Lowe’s, while the second-largest player, continues to strengthen its operations, improve customer experience and pursue growth opportunities to narrow the gap.

Although HD and LOW operate similar businesses, differences in market share, execution, customer mix and strategic focus shape their investment appeal. With housing trends, repair demand and consumer spending influencing performance, this face-off examines which home improvement giant is better-positioned in today’s competitive landscape.

The Case for HDHome Depot remains the undisputed leader in the North American home improvement market, leveraging its scale, brand strength and extensive distribution network to capture incremental market share even amid a challenging housing backdrop. Management highlighted that the company continues to gain share across the industry, supported by a vast footprint of more than 2,360 stores, 325 customer-facing warehouses and above 1,300 SRS distribution branches.

The recent acquisition of Mingledorff’s expands Home Depot’s reach into the $100-billion HVAC distribution market, increasing its total addressable market to $1.2 trillion. Meanwhile, the company sees a $700-billion opportunity within the professional contractor segment, reinforcing its leadership position in a highly fragmented industry.

The investment case is strengthened by Home Depot’s sharp focus on the Pro customer, a $700-billion opportunity. Management is expanding trade credit, jobsite delivery, AI-powered material list tools, project planning capabilities and a unified Pro digital workspace. Digital sales increased more than 10% year over year, marking the fourth straight quarter of double-digit growth.

Home Depot delivered resilient results despite macroeconomic pressures. First-quarter fiscal 2026 sales increased 4.8% year over year to $41.8 billion, while Pro sales outperformed DIY demand and big-ticket transactions returned to positive growth. The company generated a strong 25.4% return on invested capital, with $845 million of investment in growth initiatives and reaffirmed its expectation for continued market share gains in fiscal 2026. Management’s commitment to strategic acquisitions, digital innovation and customer-centric execution positions Home Depot to strengthen its competitive moat and drive long-term shareholder value.

The Case for LOWLowe’s has strengthened its position as the second-largest home improvement retailer in North America by consistently gaining market share despite a challenging housing environment. In the first quarter of fiscal 2026, sales increased 10.3% year over year to $23.1 billion, while comparable sales rose 0.6%, marking the fourth consecutive quarter of positive comps.

Management noted that Lowe’s continues to take share through its Total Home strategy, which targets growth across Pro customers, online channels, home services and new construction markets. The acquisitions of FBM and ADG further expand Lowe’s reach into the estimated $250-billion new-home and multi-family construction market, creating a meaningful growth runway beyond its traditional retail business.

Lowe’s competitive advantage lies in its balanced portfolio and customer-centric strategy. Roughly two-thirds of revenues come from repair and maintenance categories, while one-third is tied to discretionary projects. The company continues to deepen relationships with small and medium-sized Pros through its MyLowe’s Pro Rewards program, Pro Extended Aisle initiative and enhanced fulfillment capabilities.

Digital innovation is another major differentiator, with online sales rising 15.5% and the AI-powered Mylow assistant now handling more than one million customer inquiries monthly, significantly boosting online conversion rates.

Lowe’s financials remain highly resilient. Adjusted EPS increased 3.8% to $3.03, the free cash flow reached $2.8 billion and return on invested capital stood at an impressive 26.8%. Continued investments in AI, home services, loyalty programs and productivity initiatives position Lowe’s to capture additional market share while enhancing profitability. As housing conditions normalize, the company appears well-placed to leverage its strong brand, omnichannel capabilities and expanding Pro ecosystem to drive long-term shareholder value.

HD vs. LOW: How Do Estimates Stack Up?The Zacks Consensus Estimate for Home Depot’s fiscal 2026 sales and EPS implies year-over-year growth of 4.2% and 2.2%, respectively. For fiscal 2027, the consensus estimate indicates a 4% rise in sales and 8% growth in EPS. The consensus estimate for fiscal 2026 EPS has been unchanged in the past 30 days, while the estimate for fiscal 2027 moved down 0.2% in the same period. 

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for Lowe’s fiscal 2026 sales and EPS implies growth of 7.9% and 1.6%, respectively, from the year-ago period’s actuals. For fiscal 2027, the consensus estimate indicates a 3.3% rise in sales and 7.9% growth in EPS. The consensus estimate for fiscal 2026 and 2027 EPS has moved down 0.6% and 0.9%, respectively, in the past 30 days.

Image Source: Zacks Investment Research

Home Depot appears better-positioned on estimate revisions, with projections largely stable despite a softer macro backdrop. While both companies are expected to deliver growth, Lowe’s has seen broader downward EPS revisions across the forecast period. This gives HD an edge, signaling greater confidence in its earnings visibility and execution.

HD vs. LOW: A Look at Stock Performance & ValuationLowe’s shares have plunged 8.6% in the past three months, trailing Home Depot’s loss of 1.3%.

Image Source: Zacks Investment Research

Home Depot is trading at a forward 12-month price-to-earnings (P/E) ratio of 21.1X, below its five-year median of 22.27X. Meanwhile, Lowe’s forward P/E ratio stands at 16.66X, below its five-year median of 17.55X.

Image Source: Zacks Investment Research

Lowe’s has underperformed Home Depot recently, reflecting weaker investor sentiment. However, both stocks trade below their historical valuation norms, suggesting some discount is already priced in. While Lowe’s appears cheaper on valuation, Home Depot’s stronger relative share performance points to better market confidence and perceived resilience.

HD vs. LOW: Which Is a Better Bet?Both Home Depot and Lowe’s remain strong home improvement leaders with solid brands, broad store networks, expanding digital capabilities and meaningful upside when housing and renovation demand improves. Lowe’s continues to execute well through its Total Home strategy, Pro initiatives, home services expansion and technology investments. Its lower valuation may appeal to value-focused investors.

However, Home Depot wins this face-off. Its larger scale, stronger Pro ecosystem, leadership position and expanding addressable market provide a stronger foundation for long-term growth. HD also stands out for better estimate revision trends and stronger recent stock performance, reflecting greater investor confidence in its execution and earnings visibility.

Although Home Depot trades at a richer valuation than Lowe’s, that premium appears justified by its superior market position, resilient business model and stronger growth prospects. The valuation gap ultimately signals confidence in HD’s ability to keep gaining share and delivering durable shareholder returns.

Both Home Depot and Lowe’s carry a Zacks Rank #3 (Hold) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Lowe's all-new Creator: Into the Blue program provides a forum for creators to pitch, develop and launch product ideas

, /PRNewswire/ -- As Lowe's Creator Network hits its one-year milestone, today the company announced the next evolution of growing with creators. Now, creators in the network, and even those new to joining, will have an opportunity to evolve from content creation to product creation. Through the new program, Lowe's Creator: Into the Blue, creators can pitch innovative product ideas to Lowe's for potential future retail distribution, with the full support of Lowe's product design and development teams to help bring their vision to life. Designed to help creators grow their businesses through product creation, Lowe's Creator: Into the Blue expands Lowe's existing focus on creator partnerships and product innovation.

This includes:

Lowe's Creator Network, launched in 2025 as the first creator network in the home improvement industry, which helps creators grow through content and curation by connecting creators with Lowe's to share DIY projects, home improvement inspiration and product recommendations, alongside personalized Lowes.com storefronts that allow creators to curate product selections for their audiences.Lowe's Into the Blue launched in 2022 to help entrepreneurs bring innovative products to Lowe's customers.Lowe's recent collaboration with global creator MrBeast, whose collectible toy kit demonstrated how creator partnerships can evolve beyond content and curation into creation through products that connect with customers in new ways.As more creators look to expand their businesses through product development, this new program expands creation opportunities to creators of all sizes, even if they are not yet part of Lowe's Creator Network. By joining Lowe's Creator and leveraging the company's credibility in bringing products to market, selected creators may have the opportunity to develop ideas inspired by their audiences with support from Lowe's product development, product design, sourcing and merchandising teams.

"Creators today are evolving their ideas and audiences into businesses, brands and products," said Jen Wilson, Lowe's senior vice president and chief marketing officer. "Through Lowe's Creator Network, we've helped creators grow through content and curation, and we took it a step further with MrBeast by expanding the collaboration into creation with the launch of new products and workshops. Lowe's Creator: Into the Blue is the next evolution of that strategy, allowing us to help more creators move into creation and turn their ideas into products and scalable businesses."

Creators may submit a range of ideas, including:

Existing products seeking distribution, scale and retail exposureProduct ideas needing development and sourcing supportCollaborations tied to an existing Lowe's product lineApplications are now open* through Sept. 1, 2026 at Lowes.com/CreateWithLowes. Lowe's will review submissions following the application period and announce selected creators at a later date.

*Visit Lowes.com/CreateWithLowes for full terms and conditions.

About Lowe's
Lowe's Companies, Inc. (NYSE: LOW) is a FORTUNE® 100 home improvement company with total fiscal 2025 sales of more than $86 billion. Lowe's employs approximately 300,000 associates and operates over 1,750 home improvement stores, 540 branches and 120 distribution centers. Based in Mooresville, N.C., Lowe's supports the communities it serves through programs focused on creating safe, affordable housing, improving community spaces, helping to develop the next generation of skilled trade experts and providing disaster relief to communities in need. For more information, visit Lowes.com.

Contact:
Taylor Bolden
Lowe's Companies, Inc.
[email protected]

View original content to download multimedia:https://www.prnewswire.com/news-releases/lowes-is-calling-on-creators-to-help-design-and-launch-new-products-302806764.html

SOURCE Lowe's Companies, Inc.

New tech-enabled capability simplifies estimating, saves time and helps Pros respond faster

, /PRNewswire/ -- Lowe's is helping Pro customers save time on estimating and quoting with the launch of Material Lists, an AI-powered solution that converts handwritten notes, photos, spreadsheets and other supported file types into quote-ready orders in minutes, with support for both English and Spanish language.  

Video produced by Lowe's For many Pros, balancing purchasing, project management and back-office work also means managing time-consuming estimating processes that require translating a variety of jobsite material lists into accurate quotes for their customers. The process can slow response times, increase the risk of errors and take time away from projects. Using SKU matching and automated list digitization developed by Lowe's Technology, Material Lists helps Pros turn raw material information into organized product lists and quotes in minutes, reducing manual entry and simplifying the estimating process.

"We know time is one of the most valuable resources for Pros and every minute spent manually building estimates or organizing material lists is time taken away from serving customers and growing their businesses," said Quonta (Que) Vance, executive vice president of Pro and Home Services at Lowe's. "Material Lists is part of our broader commitment to building smarter, faster solutions that simplify the customer journey and help Pros save time, work more efficiently and stay competitive. "

Together, capabilities like Material Lists; Blueprint Takeoffs, which helps Pros generate material lists and estimates directly from project plans; and Pro Extended Aisle, which expands product availability and order quantities far beyond what Pros see on the store shelves, reflect Lowe's continued investment in connected and AI-driven intelligent tools that keep projects moving from planning to purchase.

Through Lowes.com and the Lowe's app, MyLowe's Pro Rewards members can manage quotes, track orders, review purchase history and handle purchasing workflows from the field or in store. Lowe's continues to invest in connected tools, savings and solutions that help Pros manage and grow their businesses more efficiently. As Pros increasingly adopt digital platforms, Lowe's is enhancing the experience with streamlined operations and services designed to simplify everyday work.

For more information about Lowe's Pro capabilities, please visit Lowes.com/Pro.

About Lowe's
Lowe's Companies, Inc. (NYSE: LOW) is a FORTUNE® 100 home improvement company with total fiscal year 2025 sales of more than $86 billion. Lowe's employs approximately 300,000 associates and operates over 1,750 home improvement stores, 540 branches and 120 distribution centers. Based in Mooresville, N.C., Lowe's supports the communities it serves through programs focused on creating safe, affordable housing, improving community spaces, helping to develop the next generation of skilled trade experts and providing disaster relief to communities in need. For more information, visit Lowes.com.

Contact:
Erin Devaney
Lowe's Companies, Inc. 
[email protected] 

SOURCE Lowe's Companies, Inc.

Lowe’s Companies, Inc. (NYSE:LOW) on Wednesday posted upbeat first-quarter earnings and revenue.

The home improvement retailer reported first-quarter fiscal 2026 adjusted EPS of $3.03, beating analyst estimates of $2.97, while revenue of $23.1 billion topped estimates of $22.98 billion.

"Strong spring execution and continued momentum in Pro, Appliances, Online, and Home Services supported a solid start to the year as we delivered our fourth consecutive quarter of positive comp sales," said Marvin R. Ellison, Lowe's chairman, president, and CEO.

Lowe's affirmed its fiscal 2026 outlook, forecasting sales of $92 billion to $94 billion, in line with analyst estimates of $93.25 billion. The company expects comparable sales ranging from flat to up 2%.

Lowe's projected fiscal 2026 GAAP EPS of $11.75 to $12.25, below analyst estimates of $12.44, while adjusted EPS guidance of $12.25 to $12.75 brackets estimates of $12.60.

Lowe’s shares fell 2.2% to trade at $216.60 on Thursday.

These analysts made changes to their price targets on Lowe’s following earnings announcement.

Considering buying LOW stock? Here’s what analysts think:

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Lowe's (LOW - Free Report) has been one of the most searched-for stocks on Zacks.com lately. So, you might want to look at some of the facts that could shape the stock's performance in the near term.

Shares of this home improvement retailer have returned -11.8% over the past month versus the Zacks S&P 500 composite's +5.1% change. The Zacks Retail - Home Furnishings industry, to which Lowe's belongs, has lost 8.5% over this period. Now the key question is: Where could the stock be headed in the near term?

Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.

Revisions to Earnings EstimatesHere at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.

Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account. When earnings estimates for a company go up, the fair value for its stock goes up as well. And when a stock's fair value is higher than its current market price, investors tend to buy the stock, resulting in its price moving upward. Because of this, empirical studies indicate a strong correlation between trends in earnings estimate revisions and short-term stock price movements.

For the current quarter, Lowe's is expected to post earnings of $4.31 per share, indicating a change of -0.5% from the year-ago quarter. The Zacks Consensus Estimate has changed -3% over the last 30 days.

The consensus earnings estimate of $12.5 for the current fiscal year indicates a year-over-year change of +1.7%. This estimate has changed -0.9% over the last 30 days.

For the next fiscal year, the consensus earnings estimate of $13.51 indicates a change of +8.1% from what Lowe's is expected to report a year ago. Over the past month, the estimate has changed -2.1%.

Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, Lowe's is rated Zacks Rank #3 (Hold).

The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:

12 Month EPS

Revenue Growth ForecastEven though a company's earnings growth is arguably the best indicator of its financial health, nothing much happens if it cannot raise its revenues. It's almost impossible for a company to grow its earnings without growing its revenue for long periods. Therefore, knowing a company's potential revenue growth is crucial.

For Lowe's, the consensus sales estimate for the current quarter of $26.27 billion indicates a year-over-year change of +9.7%. For the current and next fiscal years, $93.03 billion and $96.12 billion estimates indicate +7.8% and +3.3% changes, respectively.

Last Reported Results and Surprise HistoryLowe's reported revenues of $23.08 billion in the last reported quarter, representing a year-over-year change of +10.3%. EPS of $3.03 for the same period compares with $2.92 a year ago.

Compared to the Zacks Consensus Estimate of $22.94 billion, the reported revenues represent a surprise of +0.62%. The EPS surprise was +2.36%.

The company beat consensus EPS estimates in each of the trailing four quarters. The company topped consensus revenue estimates two times over this period.

ValuationNo investment decision can be efficient without considering a stock's valuation. Whether a stock's current price rightly reflects the intrinsic value of the underlying business and the company's growth prospects is an essential determinant of its future price performance.

While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.

The Zacks Value Style Score (part of the Zacks Style Scores system), which pays close attention to both traditional and unconventional valuation metrics to grade stocks from A to F (an A is better than a B; a B is better than a C; and so on), is pretty helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.

Lowe's is graded C on this front, indicating that it is trading at par with its peers. Click here to see the values of some of the valuation metrics that have driven this grade.

ConclusionThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Lowe's. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.

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Lowe’s (NYSE:LOW | LOW Price Prediction) just delivered its fourth consecutive quarter of positive comp sales, yet the stock sits 9.01% lower year-to-date and 13.02% off its April peak. That disconnect is the foundation of our call.

Our 24/7 Wall St. price target for Lowe’s is $265.24 over the next 12 months, implying 22% upside from the current $217.41. The recommendation is buy, with high confidence at 90%.

Metric Value Current Price $217.41 24/7 Wall St. Price Target $265.24 Upside 22.0% Recommendation BUY Confidence 90% A Spring Selling Season That Beat the Mood The selloff has been sharp. LOW is down 2.77% over the past week and 2.51% over one year, even as the broader story improved.

Q1 FY27 results, reported May 20, 2026, showed revenue of $23.08 billion, up 10.3% YoY, lifted by the Foundation Building Materials and Artisan Design Group acquisitions. Adjusted EPS of $3.03 narrowly missed the $3.06 consensus, comparable sales rose 0.6%, and online grew 15.5%.

CEO Marvin Ellison framed the quarter directly: “Strong spring execution and continued momentum in Pro, Appliances, Online, and Home Services supported a solid start to the year.”

Management affirmed FY2026 guidance for $92B to $94B in sales and adjusted EPS of $12.25 to $12.75. Shares trade at roughly 19x earnings, a discount we view as unjustified given guidance integrity.

The Case for $300+ Our bull case lands at $300.18, a 38.07% total return. The thesis: Pro penetration accelerates as the $8.8B Foundation Building Materials and $1.31B Artisan Design Group deals deliver synergies.

Online momentum at +15.5%, the $250M tradesperson training program, and the Mylow AI advisor (5M associate questions) all expand the addressable wallet. If mortgage rates ease alongside expected Fed cuts, housing turnover unlocks the discretionary big-ticket purchases currently in hibernation.

Analyst sentiment supports this scenario, with 22 buy ratings against just 1 sell, and insider activity tilts net buying across 27 recent transactions.

The Risks Worth Watching Our bear case targets $241.36, an 11.02% return. The risks are concrete: gross margin compressed 70 bps to 32.68% on intangible amortization, comp transactions fell 0.9%, and the balance sheet now carries -$9.27B in shareholders equity with higher interest expense.

The counterfactual matters. That margin pressure stems from acquisition amortization, a non-cash item tied to deal integration. Gross profit still grew 15.34% YoY to $7.54B, and management is investing through a soggy housing cycle that JPMorgan research expects to remain rate-sensitive and soggy into 2026.

Lowe’s Price Prediction 2026-2030 The 24/7 Wall St. price target of $265.24, a buy at 90% confidence, rests on one tipping factor: Lowe’s is executing through the housing downturn while building Pro share that compounds when the cycle turns.

The bull thesis holds for investors with a 12 to 18 month horizon who expect Fed cuts to unlock housing turnover. The bear thesis holds if mortgage rates remain elevated through 2027 and consumer big-ticket weakness deepens.

Looking further out, here is where our model projects LOW could trade, extending the base case 12.72% annualized return.

Year 24/7 Wall St. Price Target 2026 $265.24 2027 $276.24 2028 $311.37 2029 $350.98 2030 $395.56 These projections assume Lowe’s continues executing on its Total Home strategy. Significant upside or downside could result from the housing cycle inflection or sustained pressure on big-ticket discretionary spending.

When businesses reach a certain level of maturity and have a history of consistent profits, they often return excess cash to investors through dividends. For certain market participants, these companies are at the top of their wish lists.

Here are three dividend stocks to hold for the next 10 years. All of them pay dividend yields that are vastly greater than what the S&P 500 produces.

Just to be clear, investors should realize that these companies aren't likely to deliver market-beating returns. But they have proven their worth by generating a steady income stream for shareholders.

Image source: Getty Images.

1. Coca-Cola

Today's Change

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0.13

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0.10

Current Price

$

82.64

The first company on this list is Coca-Cola (KO +0.13%). In more than 200 countries and territories across the globe, this business sells over 200 different drink varieties. And 2.2 billion servings are consumed every single day, a clear sign of incredible adoption.

Over the past five years, Coca-Cola has reported an average quarterly operating margin of 26.6%, indicating robust profitability. Adjusted free cash flow is projected to total $12.2 billion in fiscal 2026. This bottom-line performance is made possible due to the business model, which outsources capital-intensive bottling and distribution operations to third parties.

Sizable earnings allow the company to pay a dividend that totals $2.12 on an annual basis, translating to a current dividend yield of 2.64%. What's really impressive is that in February, Coca-Cola's board of directors raised the dividend payout, marking 64 straight years of implementing a hike. Any business with a streak of more than 50 years is considered a Dividend King.

Steady demand for its beverages, coupled with proven pricing power, supports Coca-Cola's dividend. This is a huge draw for investors.

2. Lowe's

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-0.20

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-0.43

Current Price

$

220.62

Lowe's (LOW 0.20%) is next on this list. The home improvement enterprise, which collected $23.1 billion in revenue in the fiscal 2026 first quarter (ended May 1), is only behind Home Depot in the industry when it comes to sales. However, it has certainly developed brand recognition, inventory availability, and omnichannel capabilities to succeed in the long run.

Last May, the company's board of directors increased the dividend payout by 4% to $1.20, supporting a current dividend yield of 2.2%. Lowe's has raised its dividend for more than 25 straight years, driven by consistent profitability.

It's no surprise that this business is highly exposed to macroeconomic forces, particularly interest rates and their impact on the broader housing market. Add in stubborn inflationary pressures, and it makes sense why households might be hesitant to take on expensive renovation projects.

Same-store sales at Lowe's rose just 0.6% in the latest fiscal quarter, which isn't an encouraging trend. And management expects this key metric to grow 1% (at the midpoint) for the entire fiscal year. But the company has successfully weathered past economic cycles.

3. Procter & Gamble

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0.79

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1.17

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$

149.51

The final dividend stock investors should hold for the next 10 years is Procter & Gamble (PG +0.79%). This company sells some of your favorite household items. These include Tide laundry detergent, Head & Shoulders shampoo, and Bounty paper towels, among many others.

This is a recession-resilient business. In robust economic times, as well as during recessionary periods, consumers need Procter & Gamble's products. They've even developed an affinity for the brand, resulting in customer loyalty that's difficult to disrupt.

Of the three companies on this list, Procter & Gamble might have the most incredible streak going. The business just increased its dividend payout in April, marking the 70th consecutive year.

And it has paid dividends for 136 straight years. It's impossible for investors not to be impressed by this, as it highlights Procter & Gamble's staying power over an extremely long period.

Procter & Gamble's dividend yield of 2.98% tops the other stocks on this list. It can be a nice addition to a portfolio for income investors.

A home maintenance program offered by Lowe's could lift its subscription revenue, Jefferies analysts say.

If you own SNPD (NYSEARCA:SNPD) for the income, the question worth answering is whether the distribution stream is built on companies that can keep paying through a recession or whether it leans on yield-chasing names that crack under pressure. SNPD is structured to target the kind of long-tenured dividend payers that have raised distributions through multiple cycles. Based on the underlying mechanics and the financial profile of those stalwart holdings, the SNPD distribution looks durable, with the caveat that total return depends heavily on whether defensive equities stay in favor as the 10-year Treasury sits near 4.5%.

How the income actually gets generated SNPD is an equity-dividend ETF. There are no option premiums, no leverage, no synthetic exposure. The fund collects cash dividends from the operating companies it owns and passes them through to shareholders on a regular schedule. That means distribution safety is a direct function of the underlying companies’ ability to keep writing dividend checks out of free cash flow. When you evaluate SNPD, you are really evaluating the dividend policies of the businesses inside the basket.

The strategy targets companies with multi-decade increase streaks. Five names exemplify the methodology:

Johnson & Johnson – a healthcare giant with one of the longest dividend-increase streaks on the market and broad diversification across pharma, medtech, and consumer health. Coca-Cola – a global beverage Dividend King with decades of uninterrupted increases and a capital-light franchise model. Procter & Gamble – a household and personal care leader that has paid dividends continuously since 1890 and raised them annually for seven decades. PepsiCo – a snack-and-beverage operator with a multi-decade increase streak and a diversified international footprint. Lowe’s – a home-improvement retailer with one of the leanest payout ratios in the group and aggressive capital return. Why the underlying payers hold up Johnson & Johnson just declared its 64th consecutive year of dividend increases, raising the quarterly to $1.34. The coverage is not close: 2025 free cash flow of $19.7 billion against a dividend payout of $12.4 billion, a roughly 1.59x ratio.$330M in litigation charges

Coca-Cola is the cleanest sustainability story in the group. Q1 2026 operating income rose 19%, and free cash flow guidance points to roughly $12.2 billion for the year against dividend obligations comfortably below that.35%$0.53 The streak is north of 60 years.

Procter & Gamble just paid its 136th consecutive year of dividends, marking the 70th straight annual increase. Management guides to roughly $10 billion in dividends for fiscal 2026 against fiscal Q3 operating cash flow of $4.05 billion.$400 million after-tax

PepsiCo is the one to watch. The 54th consecutive annual increase just took the quarterly to $1.48, but FCF coverage compressed to 1.00x in 2025, down from 1.79x in 2017. The dividend is still funded, but there is no cushion left, and management is now drawing on cash to fund the combined dividend-plus-buyback program.

Lowe’s runs the leanest payout ratio of the group, with the dividend representing roughly 34% of free cash flow. The catch is the balance sheet: shareholders’ equity is negative $9.27 billion after the $8.8 billion FBM acquisition, and cash fell to $786 million. The distribution is safe; the buyback machine is the variable that flexes.

Total return and the verdict SNPD is up nearly 10% year to date and about 15% over one year, so income holders have not been bleeding capital to collect the distribution, a common failure mode for high-yield equity strategies. The constituent mix delivers blended FCF coverage near 1.5x, sector spread across healthcare, staples, and discretionary, and average dividend streaks measured in decades.

The distribution looks safe. The real risk is valuation-driven: with the 10-year Treasury near the 96th percentile of its trailing range, the relative case for owning low-yield defensive equities for income gets harder. SNPD makes sense for investors who want a growing distribution backed by real cash flow. For investors purely chasing current yield, the math is less compelling here.