This article examines whether investors should rely on Wall Street analysts’ bullish views for Lowe’s (LOW). While Lowe’s has a favorable average brokerage recommendation (ABR) of 1.73, suggesting a “Buy,” the article argues against making investment decisions solely based on these recommendations due to potential analyst bias. It introduces the Zacks Rank as a more reliable tool for predicting stock price movements, noting that Lowe’s currently holds a Zacks Rank #4 (Sell) based on recent negative earnings estimate revisions, despite the positive ABR.
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Is It Worth Investing in Lowe's (LOW) Based on Wall Street's Bullish Views?
This article examines whether investors should rely on Wall Street analysts’ bullish views for Lowe’s (LOW). While Lowe’s has a favorable average brokerage recommendation (ABR) of 1.73, suggesting a “Buy,” the article argues against making investment decisions solely based on these recommendations due to potential analyst bias. It introduces the Zacks Rank as a more reliable tool for predicting stock price movements, noting that Lowe’s currently holds a Zacks Rank #4 (Sell) based on recent negative earnings estimate revisions, despite the positive ABR.