KeyBanc lowered its price target on Lowe's Companies Inc. (NYSE:LOW) to $275 from $300, while maintaining an Overweight rating. The home improvement retailer currently trades at $214.75 with a market cap of $120.8 billion.
Lowe's reported first-quarter earnings per share above expectations, with comparable sales roughly in line with consensus. Consumer spending trends remained resilient.
KeyBanc monitors rising interest rates and housing affordability challenges but remains positive on long-term housing recovery. Lowe's continues gaining market share in the professional contractor segment.
The company has raised its dividend for 42 consecutive years, with a yield of 2.17% and a P/E ratio of 18.46. Several other analysts, including RBC Capital, Wolfe Research, Wells Fargo, BofA Securities, and Mizuho, have also reduced their price targets for Lowe's.
