Lowe's Loses Even as Wall Street Shrugs Off ‘Turnaround Stumble’
- Shares drop most since October 2008 after earnings miss
- Baird calls weakness a ‘good long-term buying opportunity’
A customers walks through a Lowe's Cos. store in Louisville, Kentucky.
Photographer: Luke Sharrett/BloombergThis article is for subscribers only.
Lowe’s Cos Inc. analysts still see opportunity for the home-improvement retailer, even after an unexpected first-quarter earnings miss sparked the worst intraday stock tumble in more than a decade.
“We view the quarter’s gross margin miss as a classic early turnaround stumble,” Loop Capital Markets analyst Laura Champine wrote. “Lowe’s has a new CEO and an even newer CFO, so we are not alarmed that the company is struggling to manage cost pressures.”