4 Stocks To Ride The HOT Housing Market In November

HD closed yesterday’s trading session at $269.63, gaining 25.7% year-to-date. The stock is presently trading just 8% below its all-time high of $292.95 and is up nearly 25% in the past six months.

How does HD stack up for the POWR Ratings?

A for Trade Grade

B for Buy & Hold Grade

B for Peer Grade

A for Industry Rank

B for Overall POWR Rating

The stock is also ranked #7 out of 69 stocks in the Home Improvement & Goods industry.

Lowe’s Companies, Inc. (LOW - Get Rating)

LOW operates as a home improvement retailer in the United States and Canada, serving approximately 18 million customers a week. The company offers a line of products for construction, maintenance, repair, remodeling, and decorating. As of July 31, 2020, LOW’s operated 1,968 home improvement and hardware stores. The company also sells its products through its websites and mobile application.

LOW has recently announced its plan to hire 20,000 associates across its US stores and regional distribution centers to support customer demand this holiday season and beyond. Moreover, the company issued a $4 billion-worth series of notes earlier this month to purchase its existing notes in the concurrent tender offers and further strengthen its liquidity position.

LOW is scheduled to report the financial results of its fiscal third quarter that ended October 2020 on November 18th, 2020. The company delivered very strong second-quarter results, with all merchandising divisions posting comparable sales growth exceeding 20% and all US geographic regions delivering comparable sales growth of at least 30%. Net sales for the quarter were $27.3 billion compared to $21 billion in the comparable quarter last year.

EPS for the last quarter came in at $3.75, 74% higher than year-ago value of $2.15. This also implied a 27.1% earnings surprise. LOW’s cost-cutting program and big investments into omnichannel (bricks and clicks) are likely to drive similar growth in the future. Analysts expect current year EPS to rise 49.2% year-over-year. Furthermore, LOW’s is a Dividend Aristocrat, having paid and raised the dividend without fail for over 45 years. Hence, investors may expect the company to increase its payout.

LOW closed yesterday’s trading session at $160.75, gaining 36.6% year-to-date. The stock is presently trading just 11% below its all-time high of $180.67, and is up more than 55% in the past six months.

LOW’s POWR Ratings reflect this promising outlook. It has an overall rating of “Buy” with an “A” for Trade Grade and Industry Rank, and a “B” for Buy & Hold Grade and Peer Grade. Among the 69 stocks in the Home Improvement & Goods industry, it’s ranked #8.

View single page >> |

Disclaimer: Information is provided 'as-is' and solely for informational purposes, not for trading purposes or advice.

How did you like this article? Let us know so we can better customize your reading experience.

Comments

Leave a comment to automatically be entered into our contest to win a free Echo Show.