Lowe’s Companies Inc. (LOW): One of the Best Defensive Stocks to Buy Now

We just covered the 14 Best Defensive Stocks to Invest In Now and Lowe’s Companies, Inc. (NYSE:LOW) ranks 3rd on this list.

Lowe’s Companies, Inc. (NYSE:LOW) is viewed as a top defensive stock, particularly in the housing-adjacent retail space. While it shares many similarities with Home Depot, Lowe’s is often considered more defensive due to its heavy focus on the DIY segment and its superior dividend track record. The business model has a built-in buffer that activates when the economy cools. Roughly 70% of Lowe’s sales come from DIY customers. When interest rates are high and home sales slow, as seen in early 2026, consumers focus on repairing and maintaining their current homes rather than buying new ones. This non-discretionary maintenance provides a stable revenue floor that more contractor-heavy peers lack.

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For defensive investors, Lowe’s Companies, Inc. (NYSE:LOW) is an elite income-generating machine. The company has increased its dividend for 63 consecutive years. The stock is trading ex-dividend with a quarterly payout of $1.20 per share. While many defensive stocks offer slow dividend growth, Lowe’s has maintained a 3-year average dividend growth rate of over 13%. Its current yield of approximately 2.0% is supported by a share buyback program that has reduced its share count by 25% over the last five years. While it remains DIY-heavy, Lowe’s has successfully grown its Pro segment from 20% to 30% of sales. This provides a more predictable, high-volume revenue stream from professional tradespeople who have multi-year project backlogs.

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