Is the shares of Law a purchase after the ADG transaction and the rollback of 2025? News ad

Lowe’s Companies Inc. NYSE: Low will not report income until May 20, 2025. Nevertheless, the company gave investors something, which could be thought about on the eve of income. In mid -April, Law announced that he was acquiring Artisan Design Group (Adg) For 1.325 billion dollars. It is expected that a transaction with a comprehensive transaction will be closed by the end of the current calendar quarter.

Law company today

SHORT

Law company

$ 220.95 -1,10 (-0.50%)

As of 25.04.2025 203: 59

52-week range

$ 206.39

▼

$ 287.01

Dividend yield

2.08%

P/e ratio.

18.43

Value is valuable

$ 278,21

The movement occurs almost exactly exactly a year after the opponent Home Depot NYSE: HD Acquired by SRS Distribution, a company that provides goods and materials for contractors to improve housing. Lowe’s is aimed at the same channel with its last acquisition. ADG is a nationwide supplier of the design, distribution and installation for the inner surface, such as floors, cabinets and countertops.

Investors in the space of improvement of the house are often concentrated on the Lowe’s and Home Depot duopols. This was not a great year for any company, and this is reflected in their prices for shares that decreased by 11% and 8%, respectively. Will such a step be enough to change the short -term state with a low margin?

Low leans into the trend

Obviously, the ongoing weakness in the housing sector contributed to poor performance in the low level of shares in 2025. But although the market of independent independent may decrease, since consumers hold projects, projects, Low foresaw more expenses for a professional/contractor.

In his statement on the acquisition of ADG, the chief executive director of Lowe (General Director) Marvin R. Ellison noted: “With more than 18 million houses necessary in the United States by 2033, we expect that the new housing construction will become the main driving number of Pro Planning Entry for the next decade. The acquisition of ADG allows us to build on our moment with Pro Planning Entry, and it is expected that the total amount in our market market.

Ellison also noted that ADG has the best in his class assessments of customer satisfaction from the best builders in the United States.

This is in addition to growth, which Lowe’s sees in his professional business. In his last income report, Law income of 18.6 billion dollars.

Despite the fact that he does not break the specific income that he received from his professional business, the company showed a return to the growth of comparable sales of stores. The reason for this was a high unambiguous comparable growth in sales in the Pro category. The company also launched Pro REWADS MyLowe, a processed loyalty program, adapted for small and medium specialists.

Is the low supply rightly appreciated?

Of course, this is one to point out the possible Low reserve catalysts. Another in order to decide if the action is valued. Like many things, the answer to this question can largely depend on what metrics you prefer.

Based on their discount on the cash flow, the shares of Law look quite valuable. However, it is important to note that the cash flow of the company influenced the aggressive ransom of the share, which increased its debt. It is expected that in 2025 it will be moderate.

However, with the ratio of the price for use (P/E) about 18.6x, it is lower than a three -year average of 19.25 times. This means that low reserves are not too expensive at a time when many promotions, especially technological actions, continue to trade according to the premium class estimates. And, at the time of writing this article, the relative indicator of the action force was about 32, which moved to the resold territory.

Analysts give Lowe’s stock moderate purchase rating with a consensus target price of $ 278.74. This is an increase of 24.4% corresponding to the safe dividends of the company, which leads 2.06% at the time of writing this article. Lowe’s is also a dividend king, Having increased it Dividends for 53 years in a row.

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