Lumida
/L
⌘K
Loews Corp

Loews Corp

L
$114.45USD↑+0.49%+0.56 today

MARKET CAP

23.6B

P/E (TTM)

14.5x

FWD P/E

14.5x

DAY RANGE

$114 – $117

52W RANGE

$89
$119

AI Summary

Stalk
Buy NowHigh

L remains in a Stage 2 advancing regime within its long-term uptrend. The mid-July Momentum Breakout above key resistance has been met with a measured pullback into the rising 9 and 21 EMA zone, providing a structurally supportive entry area. The Stable strategy’s controlled engagement approach favors participation on this pullback, and short-term price behavior shows no exhaustion. Key risk includes transition to Stage 3 if distribution intensifies and invalidation if price fails to hold the EMA confluence zone.

  • ↑High earnings yield of 0.861 underpins valuation appeal
  • ↑Q3 free cash flow of $2.7 B supports capex and buybacks
  • ↓DIY segment comps fell 6.2%, dragging overall revenue
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The case for & against

Bull & Bear analysis

Bullish

Loews Corporation (NYSE: L) is a well-established player in the diversified holding company segment, overseeing a portfolio that includes insurance, energy, hotels, and packaging. Its operations span multiple industries, making it a significant player in the market. As a company managing various assets, its success is heavily reliant on economic conditions across these sectors, particularly as it navigates through the complexities posed by inflation and changing consumer behaviors.

Bull says

  • ↑High earnings yield of 0.861 underpins valuation appeal
  • ↑Q3 free cash flow of $2.7 B supports capex and buybacks
  • ↑Returned $1.4 B via dividends and share repurchases in Q3
  • ↑Manageable debt with positive leverage cushions volatility
  • ↑Positive momentum in Pro and online sales drives upside
  • ↑Stable dividend policy reflects commitment to shareholder value

Bear says

  • ↓DIY segment comps fell 6.2%, dragging overall revenue
  • ↓Negative growth and analyst revision trends point to slowdown
  • ↓Poor liquidity profile may limit operational flexibility
  • ↓Intense competition and promotions risk further margin compression
  • ↓DIY loyalty programs face uptake challenges amid low confidence
  • ↓High rates and inflation continue to pressure discretionary spend

Investment themes with L

Buybacks↑ +0.48%

Companies repurchasing their own shares

C · JCI · WFC
L&H Insurance↑ +0.32%

PGR · TRV · ALL

Earnings Call · Q3 2023 · Mgmt. Guidance

Updated 07-15-2026neutral

Transcript signals

Bull points

  • Gross margin was 33.7% of sales in the third quarter, up 36 basis points from last year, benefiting from our ongoing merchandising PPI initiatives as well as favorable product mix and lower transportation costs.
  • These results would not have been possible without the exceptional efforts of our store leadership teams to rapidly respond to the sales pressure, as well as the ongoing benefits that we are harvesting from our technology-led PPI initiatives.
  • During the quarter, we generated $485 million in free cash flow. We repurchased 7.3 million shares for $1.6 billion and paid $642 million in dividends at $1.10 per share, returning $2.2 billion to our shareholders.

Bear points

  • Comp sales were down 7.4% as a slowdown in DIY bigger ticket spending offset growth in PRO.
  • Given the recent pullback in DIY bigger ticket discretionary spending and the uncertainty surrounding the macro factors that impact our business, we are updating our full year 2023 financial outlook.
  • We are now expecting 2023 sales of approximately $86 billion with a comparable sales decline of approximately 5%.
Read full transcript analysis ›