Lowe’s Earnings: Macro Pressures Linger, but Operational Agility and Business Strategy Encouraging

Wide-moat Lowe's delivered solid second-quarter results, with revenue clocking in at $25 billion and diluted EPS arriving at $4.56, edging our $24.7 billion and $4.36 preprint forecasts, respectively. Still, considering management's reiterated fiscal 2023 outlook ($87-$89 billion in revenue and $13.20-$13.60 in diluted EPS) and our estimates that sit within the guided range ($89 billion and $13.43), we don't plan a material change to our $218 fair value estimate, leaving shares a tad rich.