MUFG Securities Increases Stake in Lowe’s Companies by 24.1%

MUFJ Securities Americas Inc. has increased its holdings in Lowe’s Companies, Inc. (NYSE: LOW) by 24.1% during the second quarter of 2023. This information comes from the firm’s latest disclosure to the Securities and Exchange Commission (SEC). Following this adjustment, MUFG now owns 12,404 shares of the home improvement retailer, having acquired an additional 2,409 shares during the period. The value of these holdings reached approximately $2.75 million at the end of June.

The trend of increasing positions in Lowe’s does not stop with MUFG. Other hedge funds have also made significant adjustments. For instance, Solstein Capital LLC raised its stake by an impressive 627.8% in the same quarter, now holding 131 shares worth $29,000. Meanwhile, Traub Capital Management LLC initiated a new position valued at $30,000, while Olistico Wealth LLC acquired a stake worth $33,000. Barnes Dennig Private Wealth Management LLC doubled its holdings by 101.0%, now owning 193 shares valued at $43,000. Overall, institutional investors and hedge funds collectively own 74.06% of Lowe’s stock.

Lowe’s Stock Performance and Dividend Announcement

As of the latest trading session, shares of Lowe’s opened at $234.12. The company boasts a market capitalization of $131.3 billion and a price-to-earnings ratio of 19.24. The stock has shown fluctuations, with a 12-month low of $206.38 and a high of $280.64.

In addition to these developments, Lowe’s recently announced a quarterly dividend of $1.20, set to be paid on February 4, 2024. Investors of record as of January 21, 2024 will receive this dividend, which translates to an annualized figure of $4.80 and a yield of 2.1%. The company’s payout ratio currently stands at 39.80%.

Analyst Forecasts and Insider Activity

Market analysts have been actively discussing Lowe’s stock, with several firms adjusting their price targets. Citigroup lowered its target from $253.00 to $242.00, maintaining a “neutral” rating. Bank of America also revised its price objective down to $280.00 while keeping a “buy” rating. Furthermore, DA Davidson reduced its price target from $266.00 to $250.00. Currently, sixteen research analysts rate Lowe’s stock as a buy, while eight assign a hold rating, and one analyst suggests selling, resulting in a consensus rating of “moderate buy” with an average price target of $276.41 according to MarketBeat.com.

In recent insider trading news, Executive Vice President Joseph Michael McFarland sold 43,810 shares on September 11, 2023, at an average price of $272.60, totaling approximately $11.94 million. Post-sale, McFarland holds 66,566 shares valued at about $18.15 million. Similarly, Executive Vice President Brandon J. Sink sold 8,192 shares on September 5, 2023, at an average price of $268.58, amounting to around $2.20 million. This sale reduced Sink’s holdings to 21,603 shares valued at approximately $5.80 million.

Overall, insiders have sold a total of 52,931 shares worth $14.38 million over the past 90 days, with corporate insiders holding a mere 0.27% of the company’s stock.

Lowe’s Companies, Inc. operates as a prominent home improvement retailer in the United States, providing a diverse range of products for construction, maintenance, and remodeling. As the company continues to attract institutional interest and navigate market fluctuations, its upcoming dividend and analyst ratings will be closely monitored by investors.