Why NYSE:LOW is a Top Pick for Dividend Investors.

Our stock screening tool has identified LOWE'S COS INC (NYSE:LOW) as a strong dividend contender with robust fundamentals. NYSE:LOW exhibits commendable financial health and profitability, all while offering a sustainable dividend. Let's delve into each aspect below.

How do we evaluate the Dividend for NYSE:LOW?

ChartMill assigns a Dividend Rating to each stock, ranging from 0 to 10. This rating is calculated by analyzing various dividend elements, such as yield, historical performance, dividend growth, and sustainability. NYSE:LOW has been awarded a 7 for its dividend quality:

• LOW's Dividend Yield is rather good when compared to the industry average which is at 3.25. LOW pays more dividend than 81.60% of the companies in the same industry.
• On average, the dividend of LOW grows each year by 19.28%, which is quite nice.
• LOW has paid a dividend for at least 10 years, which is a reliable track record.
• LOW has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
• LOW pays out 32.84% of its income as dividend. This is a sustainable payout ratio.

ChartMill's Evaluation of Health

ChartMill utilizes a Health Rating to assess stocks, scoring them on a scale of 0 to 10. This rating takes into account a variety of liquidity and solvency ratios, both in absolute terms and in comparison to industry peers. NYSE:LOW has earned a 5 out of 10:

• LOW has an Altman-Z score of 3.95. This indicates that LOW is financially healthy and has little risk of bankruptcy at the moment.
• LOW's Altman-Z score of 3.95 is amongst the best of the industry. LOW outperforms 80.80% of its industry peers.

Profitability Insights: NYSE:LOW

ChartMill assigns a Profitability Rating to every stock. This score ranges from 0 to 10 and evaluates the different profitability ratios and margins, both absolutely, but also relative to the industry peers. NYSE:LOW scores a 8 out of 10:

• With an excellent Return On Assets value of 18.44%, LOW belongs to the best of the industry, outperforming 96.00% of the companies in the same industry.
• The Return On Invested Capital of LOW (32.43%) is better than 97.60% of its industry peers.
• The Average Return On Invested Capital over the past 3 years for LOW is significantly above the industry average of 13.93%.
• Looking at the Profit Margin, with a value of 8.92%, LOW belongs to the top of the industry, outperforming 90.40% of the companies in the same industry.
• In the last couple of years the Profit Margin of LOW has grown nicely.
• LOW has a Operating Margin of 13.38%. This is amongst the best in the industry. LOW outperforms 90.40% of its industry peers.
• In the last couple of years the Operating Margin of LOW has grown nicely.

Our Best Dividend screener lists more Best Dividend stocks and is updated daily.

Our latest full fundamental report of LOW contains the most current fundamental analsysis.

Keep in mind

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.