Lowe’s Companies (LOW) Price Target Trimmed by $32 at RBC Capital

With an annual dividend yield of 2.21%, Lowe’s Companies, Inc. (NYSE:LOW) is included among the 12 Best Dividend Stocks to Invest in According to Hedge Funds.

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Lowe’s Companies, Inc. (NYSE:LOW) is a home improvement company serving approximately 20 million customers a week in the United States.

On May 21, RBC Capital lowered its price target on Lowe’s Companies, Inc. (NYSE:LOW) from $264 to $232, while maintaining a ‘Sector Perform’ rating on the shares. The trimmed target still indicates an upside potential of almost 7% from the current price level.

The analyst highlighted that Lowe’s EPS in the recent Q1 report exceeded expectations by roughly 2%, despite comparable sales falling slightly short of forecasts. Moreover, the company reaffirmed its FY 2026 guidance of comparable sales of flat to up 2% and adjusted profit per share of between $12.25 and $12.75.

However, RBC noted that, given a potentially weaker category outlook, there may still be a downside risk to the 2026 forecasts. Moreover, while the analyst firm believes that much of the guidance risk is already reflected in the stock price, it continues to see limited catalysts that could drive its estimates higher.

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