Lowe's to Follow Home Depot in Reporting Earnings as Core Diy Consumers Pull Back on Spending
Lowe's investors are hopeful for a positive start to 2025, but the company faces challenges from a shift to services and pressured consumer spending. The home improvement retailer is expected to post relatively soft fourth quarter and fiscal 2024 results, with analysts anticipating incremental sales following hurricanes and wildfires. However, same-store sales growth is expected to decline due to foot traffic decreases, despite higher average ticket sizes.
- As the DIY market experiences a pullback, Lowe's may need to adapt its business model to focus on experiential services and workshops to attract core customers.
- How will Lowe's respond to increased competition from Home Depot in the post-hurricane environment, where discretionary spending remains under pressure?