Lowe’s (LOW) Cuts Forecasts To The Bone

September 24, 2007 by Douglas A. McIntyre

Lowe’s (LOW) management must not have wanted the Target (TGT) people to feel all alone when they cut their same-store sales forecasts.

Lowe’s chopped its earnings estimate after the market closed. The AP writes that the home-improvement company on Monday said it now projects fiscal-year earnings at the low end or slightly below its prior forecast, citing lower-than-expected sales trends.

Reuters reports that Lowe’s said it now expects profit for the year ending in February to be at the low end or below a forecast of $1.97 to $2.01 a share it gave in August.

Lowe’s shares are off 6% in after hours trading.

If the Target and Lowe’s news turns into an industry trend, it is going to be a rough Fall.

Douglas A. McIntyre