Lowe’s updates on strategy, guidance, and new initiatives ahead of key investor event

Lowe’s Companies (NYSE:LOW) released a strategy and guidance update ahead of its 2024 Analyst and Investor Conference on Wednesday. The home improvement retailer also said it plans to provide a detailed update on its key growth and productivity initiatives at the event.

“As we look ahead to the expected recovery in home improvement, we are making investments to position the company for long-term growth,” stated CEO Marvin Ellison. “We are evolving our Total Home strategy to help solve our customers’ total home improvement needs with more value and exceptional service,” he added.

New initiatives unveiled include an AI framework to enhance customer experience and the first product marketplace in the U.S. home improvement industry

Ellison also pointed out that Lowe’s (LOW) is building on its momentum with Pros now that the company reached 30% Pro penetration.

In terms of store growth, Lowe’s (LOW) plans to expand its footprint and attract new DIY and Pro customers to the brand by opening 10 to 15 stores per year over the next several years in fast-growing markets in the U.S.

Lowe’s (LOW) affirmed its outlook for full year 2024 guidance for total sales of $83.0 to $83.5 billion, comparable sales expected to be down -3.0% to -3.5%, adjusted operating income as a percentage of sales of 12.3% to 12.4%, and adjusted diluted earnings per share of approximately $11.80 to $11.90 vs. $11.90 consensus.

Lowe’s (LOW) also sees capital expenditures of approximately $2 billion for the full year.

Shares of Lowe’s (LOW) are up 31% on a year-to-date basis.