Although same-store sales grew more than 30% and e-commerce doubled, Lowe's earnings came in just slightly below estimates, sending shares down 4%. Analysts and investors are concerned about Lowe's performance in a post-COVID environment.
Arch-rival Home Depot reported third-quarter earnings that beat estimates the day before Lowe's announcement.
“Lowe’s is clearly taking share,” Wells Fargo analyst Zachary Fadem said in a note to clients. “That said, the cost of this growth appears to be rising.”