Why Lowe's Companies Stock Slumped Today
Shares of Lowe's Companies (NYSE: LOW) were down by almost 5% as of midday Tuesday. If Home Depot (NYSE: HD) catches a cold, it's likely that Lowe's will sneeze. That's pretty much how investors look at matters, and for good reason.
Unfortunately, Home Depot does have a cold right now -- or rather, it's feeling the chill of slowing consumer spending on discretionary purchases, and in particular, weakness in home improvement spending. Naturally, Lowe's won't be immune from such an environment.
Home Depot reported its fourth-quarter results Tuesday morning, and comparable sales declined by 0.3% both globally and in the U.S. Moreover, management's guidance for flat comparable sales in 2023 left investors disappointed.
Source Fool.com
