In 2022, Home Depot's annual sales amounted to over 157 billion U.S. dollars, whereas its main competitor, Lowe's, reached more than 97 billion U.S. dollars of sales.
Home Depot has the advantage in store count in the United States with about 250 more stores than Lowe's. Geographically, we see modest differences in where stores are located. Home Depot has their highest number of stores in California, which is 4th highest for Lowe's.
Home Depot tends to have a wider variety of exclusive products sold for slightly lower prices on average, while Lowe's brands seem to be more focused on stocking high-quality tools that first-time DIYers often require.
About half of Home Depot's revenue today comes from professional customers, like plumbers, electricians, and general contractors, compared to 25% for Lowe's. In dollar terms, pros accounted for $77.5 billion of Home Depot's sales and $23.8 billion for Lowe's in the last 12 months.
More than 50 years before Home Depot opened its doors, Lowe's began as a small-town North Carolina general store. In addition to sewing supplies, horse tack, and snuff, L.S. Lowe's original 1921 store also sold hardware and building materials.
In 2022, Home Depot's annual sales amounted to over 157 billion U.S. dollars, whereas its main competitor, Lowe's, reached more than 97 billion U.S. dollars of sales.
Based on the table, Home Depot had higher revenues than Lowe's and a higher 10-year growth rate. Besides that, Home Depot was superior to Lowe's in all sales metrics except average ticket size, with higher sales per store, sales per retail square foot and customer transactions.
As the world's first and second-largest home improvement retailers, Home Depot and Lowe's share many similarities. They compete for a shared customer base across the U.S. and Canada.
Lowe's has earned an impressive recognition courtesy of Fortune. The company made Fortune's Top 50 All-Star list of the "World's Most Admired Companies" for the first time since 2011, ranking No. 47.
Lowe's has a stable business model and revenue streams, while its buybacks and dividends should be appreciated by long-term investors. Lowe's (NYSE:LOW) is a U.S. home improvement retailer founded in 1946. The company is known for its stability, operating over 1,700 stores across North America.
Lowe's net income for the three-month period was $2.26 billion, or $3.77 per share, compared with $2.33 billion, or $3.51 per share, a year earlier. Net sales fell nearly 6% to $22.35 billion from $23.66 billion in the year-ago period, but exceeded Wall Street's expectations.
Reasons for Success
The Home Depot's success can be attributed to strategic acquisitions and a concentrated effort to grow into one category. As the e-commerce business has grown, The Home Depot has strategized and acquired companies that have helped them to grow in this segment as well.
Home Depot reported fiscal first-quarter net income of $3.87 billion, or $3.82 per share, down 8.5% from $4.23 billion, or $4.09 per share, a year earlier. Revenue fell 4.2% to $37.26 billion from $38.91 billion. It marked the second quarter in a row that Home Depot missed Wall Street's revenue expectations.
World: store count of Home Depot and Lowe's 2011-2022
In 2022, the DIY chain 'Home Depot' had a total of 2,322 stores worldwide. Meanwhile, Lowe's registered 1970 stores at the end of the same period.
For instance, Home Depot often offers better prices than Lowe's but may not carry some specialty items, whereas Lowe's tends to carry more niche products but generally charges higher prices overall compared to Home Depot.
The Home Depot has been recognized on Fortune's 2023 Most Admired Companies list, ranking #1 in the specialty retail category and #20 overall. Fortune worked with Korn Ferry, surveying 1,500 companies and determined the best-regarded companies in 52 industries.
The target audience of Lowe's are between the ages of 24-36, usually, people with higher income as they can afford to avail of Lowe's house consulting and installation services. The company has positioned itself quite effectively in the hearts of its target audience by introducing do-it-yourself (DIY) products.
The Home-Improvement Retailer Is Catching Up to Home Depot. Barron's. Lowe's Is Catching Up to Home Depot. Its Stock Price Will Follow.
Lowe's primarily focuses on selling tools, appliances, and other products for home improvement projects. The company has achieved significant success by leveraging its strong consumer base to drive sales growth and shareholder value over the past decade.
Though Home Depot has never purchased Lowe's, both companies have been able to work together to create a thriving home improvement industry. No, Home Depot did not buy Lowes. Home Depot and Lowes are two of the world's largest home improvement retailers, and they are fierce competitors.
Lowe's is a financially sound firm that has maintained a consistent profit over the years. They fall back when it comes to international market reach and their rather weak customer service. While working on improving these major factors, they should also make effective financial decisions to avoid falling into losses.
1. Remember that Lowe's and Home Depot price match each other, so finding the cheapest name-brand items is easy. If you're shopping for name-brand items that both Lowe's and Home Depot carry, you can always get the lowest price between the two.
Lowe's Companies salaries by department
Lowe's Companies salaries in the facilities department are the highest with an average salary of $37,039. Employees in the supply chain department at Lowe's Companies receive relatively high salaries as well, with an average salary of $34,194 per year.