Lowe’s: Solid Execution, Market-Share Gains, and Profitability Upside Support Buy Rating

Michael Lasser, an analyst from UBS, maintained the Buy rating on Lowe’s. The associated price target remains the same with $316.00.

Michael Lasser has given his Buy rating due to a combination of factors tied to Lowe’s solid execution in a difficult macro backdrop and its prospects for continued share gains. The company delivered fourth-quarter earnings modestly above expectations and posted comparable sales growth that outperformed both key peers and broader home-improvement retail trends, with particular momentum in e-commerce, professional customers, and services despite tough comparisons.

Lasser also highlights that management’s 2026 guidance, while conservative on margins and earnings, outlines a credible path to further market-share gains as the housing and home-improvement cycle normalizes. He believes ongoing productivity and process-improvement initiatives, coupled with the Total Home strategy and disciplined cost control, should support expanding profitability over time, justifying upside to the current valuation and supporting a Buy with a price target based on a premium multiple to forward earnings.

In another report released yesterday, Morgan Stanley also maintained a Buy rating on the stock with a $296.00 price target.