High mortgage rates, rising costs and softer demand are weighing on both retailers’ outlooks despite modest revenue growth.
Lowe's Co. (LOW) saw stock rise despite downbeat Q3 sales. Home Depot (HD) saw lower guidance. Analyst Feldman maintained Outperform rating and $305 target.
Home Depot has said that an absence of storms in recent months has resulted in its disappointing third-quarter performance.
Customers may be choosing less expensive countertops and hiring contractors for fewer projects, the retailer said.
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