Lowe's Companies Inc (LOW)
Profitability ratios
Return on sales
| Jan 31, 2025 | Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Feb 2, 2024 | Jan 31, 2024 | Nov 3, 2023 | Oct 31, 2023 | Aug 4, 2023 | Jul 31, 2023 | Apr 30, 2023 | Feb 3, 2023 | Jan 31, 2023 | Oct 31, 2022 | Oct 28, 2022 | Jul 31, 2022 | Jul 29, 2022 | Apr 30, 2022 | Apr 29, 2022 | Jan 31, 2022 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 32.81% | 32.85% | 32.00% | 32.14% | 32.81% | 33.15% | 33.94% | 33.80% | 33.75% | 33.29% | 33.19% | 33.21% | 32.70% | 33.01% | 32.74% | 32.89% | 33.27% | 33.18% | 33.49% | 33.24% |
| Operating profit margin | 12.51% | 12.39% | 11.68% | 11.24% | 11.43% | 13.19% | 14.61% | 14.89% | 13.64% | 11.57% | 8.47% | 5.79% | 8.06% | 10.17% | 12.50% | 14.80% | 13.26% | 11.51% | 10.84% | 10.36% |
| Pretax margin | 10.94% | 10.78% | 9.92% | 9.36% | 9.53% | 11.45% | 13.09% | 13.40% | 12.20% | 10.12% | 7.04% | 4.43% | 6.84% | 9.07% | 11.44% | 13.81% | 12.23% | 10.44% | 9.80% | 9.33% |
| Net profit margin | 8.31% | 8.22% | 7.55% | 7.11% | 7.22% | 8.64% | 9.87% | 10.16% | 9.15% | 7.49% | 4.81% | 2.45% | 4.41% | 6.21% | 8.34% | 10.47% | 9.27% | 7.91% | 7.36% | 6.93% |
Lowe's Companies Inc's profitability ratios show consistent trends over time. The gross profit margin has ranged between 32% to 34%, indicating the company effectively manages its cost of goods sold.
The operating profit margin has shown more variability, fluctuating from around 10% to 15% over the periods analyzed. This suggests fluctuations in operating expenses or revenues impacting the company's profitability at the operating level.
The pretax margin has shown a similar trend to the operating profit margin, reflecting fluctuations in pre-tax income relative to total revenue. The margin has ranged from around 4% to 14% over the periods analyzed.
The net profit margin, which represents the company's bottom line profitability, has also shown variability, ranging from around 2% to 10%. This suggests changes in tax expenses and other non-operating items impacting the company's net income.
Overall, while Lowe's Companies Inc has maintained relatively stable gross profit margins, the variability in operating, pretax, and net profit margins indicates fluctuations in operating efficiency, expenses, and other income factors affecting the company's overall profitability over time.
Return on investment
| Jan 31, 2025 | Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Feb 2, 2024 | Jan 31, 2024 | Nov 3, 2023 | Oct 31, 2023 | Aug 4, 2023 | Jul 31, 2023 | Apr 30, 2023 | Feb 3, 2023 | Jan 31, 2023 | Oct 31, 2022 | Oct 28, 2022 | Jul 31, 2022 | Jul 29, 2022 | Apr 30, 2022 | Apr 29, 2022 | Jan 31, 2022 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 24.28% | 23.07% | 21.26% | 19.40% | 21.17% | 25.47% | 30.96% | 32.35% | 28.67% | 23.77% | 16.60% | 12.03% | 17.80% | 21.94% | 27.00% | 32.24% | 27.14% | 20.72% | 19.69% | 20.78% |
| Return on assets (ROA) | 16.14% | 15.32% | 13.75% | 12.27% | 13.37% | 16.70% | 20.91% | 22.06% | 19.24% | 15.38% | 9.43% | 5.09% | 9.74% | 13.39% | 18.03% | 22.79% | 18.97% | 14.24% | 13.36% | 13.90% |
| Return on total capital | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Return on equity (ROE) | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
Based on the provided data, we analyzed Lowe's Companies Inc's profitability ratios as follows:
1. Operating Return on Assets (Operating ROA):
- The Operating ROA fluctuated over the period, ranging from a high of 32.35% on October 31, 2023, to a low of 12.03% on February 3, 2023.
- The ratio indicates that, on average, Lowe's generated approximately 20.95% in operating profit for every dollar of assets during the period, showing strong operational efficiency.
2. Return on Assets (ROA):
- The ROA varied during the period, with the highest value of 22.79% on July 31, 2022, and the lowest at 5.09% on February 3, 2023.
- On average, Lowe's generated around 14.96% in profit for every dollar of assets during the period, reflecting the company's ability to generate profits efficiently.
3. Return on Total Capital and Return on Equity:
- Data for Return on Total Capital and Return on Equity were not available for analysis.
In summary, Lowe's Companies Inc exhibited robust profitability performance based on the Operating ROA and ROA ratios. The company generally maintained a strong ability to generate profits in relation to its assets during the period under review, indicating effective management of operations and resources. Further analysis of Return on Total Capital and Return on Equity could provide a more comprehensive view of the company's overall financial performance and capital structure.