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Lowe's PS Ratio

: 1.45 (As of Today)
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The PS Ratio, or Price-to-Sales ratio, or Price/Sales, is a financial ratio used to compare a company's market price to its Revenue per Share. As of today, Lowe's's share price is $202.71. Lowe's's Revenue per Share for the trailing twelve months (TTM) ended in Apr. 2022 was $139.33. Hence, Lowe's's PS Ratio for today is 1.45.

The historical rank and industry rank for Lowe's's PS Ratio or its related term are showing as below:

LOW' s PS Ratio Range Over the Past 10 Years
Min: 0.54   Med: 1.12   Max: 1.96
Current: 1.45

During the past 13 years, Lowe's's highest PS Ratio was 1.96. The lowest was 0.54. And the median was 1.12.

LOW's PS Ratio is ranked worse than
70.89% of 1137 companies
in the Retail - Cyclical industry
Industry Median: 0.71 vs LOW: 1.45

Lowe's's Revenue per Sharefor the three months ended in Apr. 2022 was $35.74. Its Revenue per Share for the trailing twelve months (TTM) ended in Apr. 2022 was $139.33.

Good Sign:

Lowe's Companies Inc has shown predictable revenue and earnings growth.

During the past 12 months, the average Revenue per Share Growth Rate of Lowe's was 9.50% per year. During the past 3 years, the average Revenue per Share Growth Rate was 16.20% per year. During the past 5 years, the average Revenue per Share Growth Rate was 13.10% per year. During the past 10 years, the average Revenue per Share Growth Rate was 12.80% per year.

During the past 13 years, Lowe's's highest 3-Year average Revenue per Share Growth Rate was 21.00% per year. The lowest was 2.50% per year. And the median was 13.50% per year.

Back to Basics: PS Ratio


Lowe's PS Ratio Historical Data

The historical data trend for Lowe's's PS Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Lowe's Annual Data
Trend Jan13 Jan14 Jan15 Jan16 Jan17 Jan18 Jan19 Jan20 Jan21 Jan22
PS Ratio
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.28 1.09 1.25 1.40 1.72

Lowe's Quarterly Data
Jul17 Oct17 Jan18 Apr18 Jul18 Oct18 Jan19 Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22
PS Ratio Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.54 1.48 1.75 1.72 1.42

Competitive Comparison

For the Home Improvement Retail subindustry, Lowe's's PS Ratio, along with its competitors' market caps and PS Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

Lowe's PS Ratio Distribution

For the Retail - Cyclical industry and Consumer Cyclical sector, Lowe's's PS Ratio distribution charts can be found below:

* The bar in red indicates where Lowe's's PS Ratio falls into.



Lowe's PS Ratio Calculation

The PS Ratio, or Price-to-Sales ratio, or Price/Sales, is a financial ratio used to compare a company's market price to its Revenue per Share. It is a ratio widely used to value stocks and it was first used by Ken Fisher.

Lowe's's PS Ratio for today is calculated as

PS Ratio=Share Price/Revenue per Share (TTM)
=202.71/139.326
=1.45

Lowe's's Share Price of today is $202.71.
Lowe's's Revenue per Share for the trailing twelve months (TTM) ended in Apr. 2022 adds up the quarterly data reported by the company within the most recent 12 months, which was $139.33.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

It can also be calculated from the numbers for the whole company:

PS Ratio=Market Cap/Revenue

The Revenue here is for the trailing 12 months.


Lowe's  (NYSE:LOW) PS Ratio Explanation

The PS Ratio is an excellent valuation indicator if you want to compare a stock with its historical valuation or with the stocks in the same industry. The PS Ratio works especially well when you want to compare the stock's current valuation with its historical valuation. The PS Ratio is a great valuation tool for evaluating cyclical businesses where the PE Ratio works poorly. It works the best when comparing the current valuation with the historical valuation because over time, a company's profit margin tends to revert to the mean.

When the PS Ratio is applied to the whole stock market, it can be used to evaluate the current market valuation and projected returns. In this case, the price is the total market cap of all stocks that are traded, and sales are the GDP of the country. This is how Warren Buffett estimates the broad market valuation and project future returns.

Similar to the PE Ratio or Price-to-Operating-Cash-Flow or Price-to-Free-Cash-Flow , the PS Ratio measures the valuation based on the earning power of the company. This is where it is different from the PB Ratio , which measures the valuation based on the company's balance sheet.


Be Aware

The PS Ratio does not tell you how cheap or expensive the stock is. It cannot be used to compare companies in different industries. It works better for companies within the same industry because these companies tend to have similar capital structures and profit margins. It works the best when comparing a company with itself in the past.


Lowe's PS Ratio Related Terms

Thank you for viewing the detailed overview of Lowe's's PS Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Lowe's Business Description

Lowe's logo
Address
1000 Lowe's Boulevard, Mooresville, NC, USA, 28117
Lowe's is the second- largest home improvement retailer in the world (behind wide-moat Home Depot), operating 1,971 stores and servicing 230 dealer-owned stores throughout the United States and Canada. The firm's stores offer products and services for home decorating, maintenance, repair, and remodeling. Lowe's targets retail do-it-yourself and do-it-for-me customers as well as commercial business clients. We estimate Lowe's captures a low-double-digit share of the $900 billion domestic home improvement market, based on Lowe's estimate for market size.
Executives
Taylor Colleen director C/O BILL.COM HOLDINGS, INC. 1800 EMBARCADERO ROAD PALO ALTO CA 94303
Sink Brandon J officer: EVP, Chief Financial Officer 1000 LOWE'S BOULEVARD MOORESVILLE NC 28117
Stone West Mary E director C/O HASBRO, INC. 1011 NEWPORT AVENUE PAWTUCKET RI 02861
Heinrich Daniel J director CLOROX CO 1221 BROADWAY OAKLAND CA 94612
Griggs Dan Clayton Jr officer: Vice President, CAO 1000 LOWES BOULEVARD MOORESVILLE NC 28117
Little Janice Dupre officer: EVP Human Resources 1000 LOWES BOULEVARD MOORESVILLE NC 28117
Thalberg Marisa F officer: EVP Chief Brand & Mktg Officer 1000 LOWE'S BOULEVARD MOORESVILLE NC 28117
Denton David M officer: EVP, Chief Financial Officer 1000 LOWE'S BOULEVARD MOORESVILLE NC 28117
Godbole Seemantini officer: EVP, Chief Information Officer 1000 LOWE'S BOULEVARD MOORESVILLE NC 28117
Mason Tiffany L officer: Interim CFO & SVP 440 S. CHURCH STREET SUITE 700 CHARLOTTE NC 28202
Boltz William P officer: EVP, Merchandising 1000 LOWE'S BOULEVARD MOORESVILLE NC 28117
Mcfarland Joseph Michael officer: EVP, Stores 1000 LOWE'S BOULEVARD MOORESVILLE NC 28117
Frieson Donald officer: EVP, Supply Chain 1000 LOWE'S BOULEVARD MOORESVILLE NC 28117
Ellison Marvin R director, officer: President and CEO 1000 LOWE'S BOULEVARD MOORESVILLE NC 28117
Rogers Brian C director T ROWE PRICE GROUP INC 100 E PRATT ST BALTIMORE MD 21202

Lowe's Headlines

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