Four Analysts Lower Price Targets on LOW After Q2 Results, All Maintain Buy Ratings

Four Wall Street firms lowered their price targets on Lowe's Companies (NYSE: LOW) in the two days following the home improvement retailer's second-quarter fiscal 2026 results, while each maintained a bullish rating on the stock. Shares closed at $216.09 on Friday, August 21, 2026, down -0.58%, while the S&P 500 gained 0.41%.

What Changed

• Guggenheim analyst Steven Forbes maintained a Buy rating but cut his price target to $275 from $300, the largest reduction among the four firms.
• Telsey Advisory Group analyst Joseph Feldman maintained an Outperform rating and lowered his target to $260 from $280.
• Citigroup analyst Steven Zaccone maintained a Buy rating and reduced his target to $260 from $267.
• Truist Securities analyst Scot Ciccarelli maintained a Buy rating and trimmed his target to $254 from $255, the smallest adjustment of the group.

Why It Matters

The quartet of target reductions came after Lowe's reported second-quarter fiscal 2026 results on August 19, 2026. The company posted GAAP diluted EPS of $4.27, flat versus the prior-year quarter, while adjusted diluted EPS rose 1.6% to $4.40, which included an $0.11 benefit from IEEPA tariff refunds. Total sales reached $26.0 billion, up from $24.0 billion in the year-ago period, with comparable sales increasing just 0.2%, driven by Pro and home services categories alongside a 15.7% gain in online sales, partially offset by persistent DIY softness.

Lowe's also updated its full-year fiscal 2026 outlook, narrowing its total sales guidance to $92.0 billion (from a prior range of $92.0 to $94.0 billion) and tightening adjusted diluted EPS guidance to approximately $12.25 (from a prior range of $12.25 to $12.75). Comparable sales are now expected to be flat versus the prior year, down from prior guidance of flat to up 2%. The tighter guidance range and muted comp sales trajectory appear to be the primary drivers behind the analyst target reductions, though no analyst explicitly connected a specific guidance line to their revision in the available source data.

Wall Street View

Despite the coordinated target reductions, all four analysts who acted this week held their constructive ratings intact, with targets ranging from Truist's $254 to Guggenheim's $275. The current LOW closing price of $216.09 sits below all four revised targets, implying upside of 17% to 27% to those levels. The stock trades near the lower end of its 52-week range of $199.40 to $293.06, reflecting the market's cautious view of near-term DIY spending trends.

Investor Takeaway

The uniform pattern of maintained Buy ratings alongside lower price targets reflects analyst confidence in Lowe's long-term execution, particularly its Pro segment and online channel, tempered by a tighter near-term earnings corridor. With adjusted diluted EPS guidance now pinned at approximately $12.25 and comparable sales expected to be flat for the full year, the path to multiple expansion appears contingent on a recovery in discretionary DIY spending that has yet to materialize. Investors should weigh whether the current discount to revised analyst targets adequately compensates for the compressed guidance range heading into the second half of fiscal 2026.