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The Home Depot vs Lowe's Companies: Which Stock Looks Stronger in 2026?

Lowe's Companies holds the cleaner structural position, with growth as the main driver and profitability adding further support. The Home Depot still has the edge on stability, which keeps the comparison from looking entirely one-sided. Both sides have seen trend damage — neither carries a clear market edge right now. With both trends damaged, the structural comparison carries most of the weight here.

The comparison is based on similar long-term financial trajectories, not sector labels. Both peer scores are relative to the S&P 500 universe, making them directly comparable.

Updated 2026-07-05

This is not just a one-metric split: both growth and profitability materially support the lead. Lowe's Companies, Inc. leads by 12 points on the overall comparison score.

INDUSTRY COMPARISON

Both operate in: Home Improvement Retail

This comparison is based on industry proximity, not on functional trajectory similarity. HD and LOW share the same industry classification.

For a similarity-based comparison, see how The Home Depot and Lowe's Companies each position within their functional peer groups in AssetNext.

Peer-Relative Score
HD
The Home Depot, Inc.
54
Peer-Score
Signal qualitylow
Peer basis: S&P 500
vs
LOW
Lowe's Companies, Inc.
66
Peer-Score
Signal qualitylow
Peer basis: S&P 500

Scores reflect position relative to comparable companies with similar long-term financial trajectories.

Score differences across key dimensions.

Dimension spread: HD vs LOW Profitability 54 68 Stability 60 47 Valuation 64 77 Growth 35 66 HD LOW
Gap Ranking
#1 Growth +31
#2 Profitability +14
#3 Valuation +13
#4 Stability +13
Price Setup

Left means cheaper relative valuation. Higher means stronger structure.

Price setup map for HD and LOW Stronger + cheaper Stronger + richer Weaker + cheaper Weaker + richer HDLOW Relative valuation Structural strength

Lowe's Companies, Inc. looks stronger on relative valuation, while the broader price setup remains mixed.

Valuation position uses peer-relative PE percentile (idx_pct_pe) where available.

Entry today — historical context

Where HD and LOW each sit in their own 5-year price and valuation history.

BASED ON 5-YEAR HISTORY HD Elevated · above norm 0th 50th 100th 9 pct gap LOW Neutral · above norm 0th 50th 100th 77th 67th
HD (77th percentile) and LOW (67th percentile) sit at comparable positions within their own 5-year histories. This reflects entry timing, not which company is structurally stronger.

Describes historical entry positioning only. Descriptive — not investment advice.

Relative Position vs Comparable Companies
Growth
On growth, Lowe's Companies, Inc. ranks near the top of the group; The Home Depot, Inc. sits in the weaker half.
Profitability
On profitability, the edge still sits with Lowe's Companies, Inc., even though both profiles look solid.
Growth — Dominant Gap
HD
35
LOW
66
Gap+31in favour of LOW

The main growth separation is wide, driven by a meaningfully stronger expansion profile.

What keeps the gap from being one-sided

Stability still leans toward The Home Depot, Inc., so the lead is real without reading as one-way.

What this means for the comparison

Growth is the clearest driver of the lead, with profitability adding further support — though stability still provides a real counterweight.

Explore full peer positioning in AssetNext

Break down the HD vs LOW comparison across all dimensions with the full interactive tool.

Explore full breakdown →
Similar growth-driven comparisons

Explore how HD and LOW each compare against other companies in their peer groups.

Rule-based, descriptive analysis only. Derived from peer percentile dimensions. Not investment advice. Peer groups are determined algorithmically based on structural similarity — not by sector classification alone.

How AssetNext Peer Scores Work

AssetNext scores reflect each company's structural position within its functional peer group — not a ranking against all stocks simultaneously. Peers are identified by similarity across eight financial dimensions, including revenue growth trajectory, margin structure, capital intensity, and earnings stability. A score of 75 means the company ranks in the top quartile within its own peer group, not the entire market.

Four dimension scores drive the overall peer score: Growth (revenue trajectory and expansion dynamics), Quality (margin structure and capital efficiency), Valuation (peer-relative pricing on standard multiples), and Stability (earnings consistency and financial predictability). Each dimension is scored 0–100 relative to the peer group, then combined into an overall peer score using equal weighting.

Because scores are peer-relative, the same company can have slightly different scores in different index universes. On comparison pages, both companies are shown within their shared peer universe wherever possible — so the scores are directly comparable. The peer basis is stated on each score card.

Scores are recalculated periodically as underlying financial data is updated. All analysis is descriptive and rule-based — AssetNext describes structural realities and never issues buy, sell or hold recommendations.