NEW YORK, July 23, 2026, 15:32 EDT
- Lowe’s shares were at $201.33, a loss of 1.5%, as of 15:17 EDT.
- The average 30-year mortgage rate climbed to 6.58%, rising by 15 basis points in three weeks.
- The guidance-midpoint price-to-earnings ratio reached 16.1, compared to 21.7 for its nearest competitor.
Lowe’s stock slipped 1.5% on Thursday, while still performing better than Home Depot NYSE:HD, which saw a 2.0% decline. Meanwhile, the 30-year mortgage rate climbed to its highest point in almost a year.
The disparity in valuation offers a clearer indication for investors. Lowe’s is valued at 16.1 times the midpoint of its adjusted earnings per share outlook, while Home Depot is priced at 21.7 times.
The gap remains at 26%, even though Lowe’s delivered a more robust first-quarter adjusted EPS performance.
Trading on the NYSE was still active at 15:32 EDT. The main session concludes at 16:00 EDT.
After-hours comparison with prices lagging by a minimum of 15 minutes:
| Metric | Lowe’s | Home Depot |
|---|---|---|
| Share price | $201.33 | $324.76 |
| Thursday move | -1.5% | -2.0% |
| Q1 comparable-sales growth | +0.6% | +0.6% |
| Q1 adjusted EPS change | +3.8% | -3.7% |
| FY2026 adjusted EPS midpoint | $12.50 | $14.98 |
| Price to midpoint EPS | 16.1x | 21.7x |
Midpoints reflect figures provided in company outlooks. Home Depot’s $14.98 is based on a 2% increase in adjusted EPS from a baseline of $14.69.
The difference in first-quarter EPS growth was 7.5 percentage points. Home Depot’s larger size could account for its higher valuation. Quarterly sales reached $41.8 billion at Home Depot, compared to $23.1 billion at Lowe’s.
Lowe’s performance indicators remained robust. Online sales increased by 15.5%. Growth continued in Pro, appliances, and home services.
Executives described the sluggish environment with their own emphasis. Lowe’s Chief Executive Marvin Ellison said the business maintained its focus “in spite of a challenging housing macro.” Home Depot Chief Executive Ted Decker described demand as “relatively similar to what we saw throughout fiscal 2025.” Lowe’s Corporate
The housing landscape has become more constrained. The 30-year fixed mortgage rate climbed to 6.58%, rising by 15 basis points over the past three weeks. Another metric from the mortgage industry showed a rate of 6.69% last week.
U.S. existing-home sales slipped 2.4% in June to an annual pace of 4.09 million, while pending home contracts decreased 5.4%. The median home resale price climbed to an all-time high of $440,600.
Lowe’s is scheduled to announce its second-quarter earnings on Aug. 19. Home Depot will release its results the day before.
Risks: Increased borrowing costs may reduce consumer spending and slow the pace of home sales. Lowe’s adjusted results left out $96 million in acquisition-related costs from the first quarter.
August data will indicate if the EPS spread continues. A recurring trend would increase focus on the valuation gap.
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