LOW Stock Surges 12% With A 6-day Winning Spree On Analyst Upgrades
Lowe’s Companies (LOW) stock hit day 6-day winning streak, with cumulative gains over this period amounting to a 12%. The company market cap has surged by about $16 Bil over the last 6 days, and currently stands at $153 Bil.
The stock has YTD (year-to-date) return of 13.7% compared to 1.7% for S&P 500. This calls for a re-evaluation of the stock’s valuation to find out whether this is an opportunity, or a trap.
What Triggered The Rally?
[1] Barclays ‘Overweight’ Upgrade & PT Hike
- Lowe’s Companies Stock To $189?
- Would You Still Hold Lowe’s Companies Stock If It Fell 30%?
- The Hidden Drivers You Missed in Lowe’s Q3 Results
- Lowe’s Companies Stock In Downward Spiral: -8.7% Loss After 9-Day Losing Streak
- Lowe’s Companies Stock Plummets -6.7% as Sell-Off Continues With 7-Day Streak
- LOW Delivers $76 Bil to Shareholders Over the Last 10 Years
- Price target raised to $285 from $259
- Analyst cited pent-up demand and valuation
- Impact: Stock jumped 2.5% after announcement, Sustained institutional buying
[2] Gordon Haskett ‘Buy’ Upgrade & PT Hike
- Price target set at $325
- Rating lifted from ‘Hold’ to ‘Buy’
- Impact: Continued positive price momentum, Reinforced bullish sentiment
Opportunity or Trap?
Below is our take on valuation.
There are several things to fear in LOW stock given its overall Weak operating performance and financial condition. This isn’t appropriately reflected in the stock’s Moderate valuation which is why we think it is Unattractive (For details, see Buy or Sell LOW).
But here is the real interesting point.
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Returns vs S&P 500
The following table summarizes the return for LOW stock vs. the S&P 500 index over different periods, including the current streak:
| Return Period | LOW | S&P 500 |
|---|---|---|
| 1D | 1.2% | -0.2% |
| 6D (Current Streak) | 12.1% | 0.9% |
| 1M (21D) | 10.5% | 0.9% |
| 3M (63D) | 17.5% | 4.6% |
| YTD 2026 | 13.7% | 1.7% |
| 2025 | -0.3% | 16.4% |
| 2024 | 13.0% | 23.3% |
| 2023 | 14.0% | 24.2% |
However, big gains can follow sharp reversals – but how has LOW behaved after prior drops? See LOW Dip Buyer Analysis to learn more.
Gains and Losses Streaks: S&P 500 Constituents
There are currently 91 S&P constituents with 3 days or more of consecutive gains and 75 constituents with 3 days or more of consecutive losses.
| Consecutive Days | # of Gainers | # of Losers |
|---|---|---|
| 3D | 26 | 62 |
| 4D | 54 | 7 |
| 5D | 6 | 6 |
| 6D | 3 | 0 |
| 7D or more | 2 | 0 |
| Total >=3 D | 91 | 75 |
Key Financials for Lowe’s Companies (LOW)
Last 2 Fiscal Years:
| Metric | FY2024 | FY2025 |
|---|---|---|
| Revenues | $86.4 Bil | $83.7 Bil |
| Operating Income | $11.6 Bil | $10.5 Bil |
| Net Income | $7.7 Bil | $7.0 Bil |
Last 2 Fiscal Quarters:
| Metric | 2026 FQ2 | 2026 FQ3 |
|---|---|---|
| Revenues | $24.0 Bil | $20.8 Bil |
| Operating Income | $3.5 Bil | $2.5 Bil |
| Net Income | $2.4 Bil | $1.6 Bil |
While LOW stock looks attractive given its winning streak, investing in a single stock without detailed, thorough analysis can be risky. The Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of comfortably outperforming its benchmark that includes all 3 — the S&P 500, S&P mid-cap, and Russell 2000 indices. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.