Essay about Lowe's vs. Home Depot Financial Comparison & Analysis
Lowe’s (LOW) and Home Depot (HD) are competitors in the every growing market of Home Improvement. The following analysis of each company will examine the home improvement industry, the individual companies, their operating philosophies, their financial strengths or weaknesses, and a final conclusion on which company would be a better long-term investment.
The growing trend of home improvement has perpetuated a larger demand for box store home improvement shops such as Home Depot and Lowe’s. There are several types of companies that contribute to the booming renovation industry. Home Depot and Lowe’s provide all the …show more content…
HOME DEPOT: FINANCIAL PERFORMANCE
Home Depot Financial Ratios | | Ended Feb 1, 2009 | Ended Feb 1, 2008 | Basic Earnings Per Share | $1.34 | $2.38 | Diluted Earnings Per Share | $1.34 | $2.37 | Asset Turnover Ratio | 1.68 times | 1.6 times | Receivables Turnover | N/A | N/A | Current Ratio | 1.2 to 1 | 1.15 to 1 | Quick Ratio | .13 to 1 | .14 to 1 | Times Interest Earned | 6.99 times | 10.41 times | Debt Ratio | 57% | 60% | Debt to Equity | 1.32 to 1 | 1.50 to 1 | Inventory Turnover | 4.22 | 4.18 | Inventory Turnover Days | 86.49 | 87.25 |