Aureus
DWarning

Lowe's Companies, Inc.(LOW)

D

Financial data as of Jan 31, 2025Declining · Consumer Discretionary

FCF Margin9.2%Free Cash Flow / Revenue
Cash Conversion138.3%Operating CF / Net Income
Free Cash Flow$7.7B
Revenue$83.7B
Net Cash-$37.9BNet debt position
Debt / FCF5.2xElevated debt burden
Current Ratio1.09Adequate short-term liquidity
YoY FCF Growth-87.6%5 of 5 quarters positive

How This Grade Was Calculated

Base grade from FCF margin, adjusted by financial health factors

BaseB
→
-0.5Elevated debt-to-FCF ratio (5.2x)
→
-1Significant YoY FCF decline (-87.6%)
→
-0.5Highly volatile FCF (consistency: 0.94)
→
FinalD

Analysis Summary

Strengths

  • Excellent cash conversion (138%)

Concerns

  • Low FCF margin (9.2%)
  • Heavy debt position ($37.9B)
  • High debt-to-FCF ratio (5.2x)
  • Significant YoY FCF decline (-87.6%)
  • Highly volatile quarterly FCF
  • Significant FCF decline (-87.6% YoY)

Financial Breakdown

Key financials compared side by side

Margin Composition

FCF Margin9.2%
Net Margin8.3%
Operating CF Margin11.5%
CapEx Ratio2.3%

Balance Sheet Health

Debt, liquidity, and leverage snapshot

Net Cash-$37.9BNet debt position
Debt / FCF5.2xElevated debt burden
Current Ratio1.09Adequate liquidity
Debt / Equity0.00Low leverage

Quarterly FCF Trend

-87.6% YoYDeclining (-87.6%)

Free cash flow per quarter

Sector Comparison — Consumer Discretionary

FCF Margin ranked against sector peers

View all →

Detailed Metrics

Company NameLowe's Companies, Inc.
SectorConsumer Discretionary
Free Cash Flow$7.7B
Revenue$83.7B
Net Income$7.0B
Operating Cash Flow$9.6B
Capital Expenditure$1.9B
FCF Margin9.2%
Cash Conversion Rate138.3%
Net Margin8.3%
Total Debt$39.7B
Total Cash$1.8B
Net Cash-$37.9B
Current Ratio1.09
Debt / Equity0.00
Debt / FCF5.2x
YoY FCF Growth-87.6%
Positive Quarters5 of 5
Trend DirectionDeclining
Report DateJan 31, 2025
GradeD
Data SourceYahoo Finance