Stock Analysis on Net
Stock Analysis on Net

Lowe’s Cos. Inc. (NYSE:LOW)

Analysis of Short-term (Operating) Activity Ratios
Quarterly Data

Beginner level

Short-term Activity Ratios (Summary)

Lowe’s Cos. Inc., short-term (operating) activity ratios (quarterly data)

Microsoft Excel LibreOffice Calc
Apr 30, 2021 Jan 29, 2021 Oct 30, 2020 Jul 31, 2020 May 1, 2020 Jan 31, 2020 Nov 1, 2019 Aug 2, 2019 May 3, 2019 Feb 1, 2019 Nov 2, 2018 Aug 3, 2018 May 4, 2018 Feb 2, 2018 Nov 3, 2017 Aug 4, 2017 May 5, 2017 Feb 3, 2017 Oct 28, 2016 Jul 29, 2016 Apr 29, 2016 Jan 29, 2016 Oct 30, 2015 Jul 31, 2015 May 1, 2015
Turnover Ratios
Inventory turnover 3.44 3.71 3.64 3.90 3.52 3.73 3.57 3.58 3.26 3.85 3.88 3.95 3.47 3.97 3.65 3.91 3.57 4.07 3.72 3.76 3.55 4.07
Payables turnover 4.52 5.51 4.48 4.18 4.63 6.42 5.54 5.18 4.26 5.85 5.16 5.22 4.53 6.86 5.09 5.15 4.41 6.40 5.21 5.18 4.45 6.84
Working capital turnover 24.04 24.92 11.60 12.67 20.57 530.50 119.81 74.71 46.13 1,031.26 78.17 266.87 101.51 254.28 166.37 112.95 2,500.65 657.58 363.64 25.59 856.14
Average No. Days
Average inventory processing period 106 98 100 94 104 98 102 102 112 95 94 92 105 92 100 93 102 90 98 97 103 90
Less: Average payables payment period 81 66 81 87 79 57 66 70 86 62 71 70 81 53 72 71 83 57 70 70 82 53

Based on: 10-Q (filing date: 2021-05-27), 10-K (filing date: 2021-03-22), 10-Q (filing date: 2020-11-25), 10-Q (filing date: 2020-08-26), 10-Q (filing date: 2020-05-28), 10-K (filing date: 2020-03-23), 10-Q (filing date: 2019-12-04), 10-Q (filing date: 2019-09-03), 10-Q (filing date: 2019-06-03), 10-K (filing date: 2019-04-02), 10-Q (filing date: 2018-12-06), 10-Q (filing date: 2018-09-04), 10-Q (filing date: 2018-06-05), 10-K (filing date: 2018-04-02), 10-Q (filing date: 2017-12-05), 10-Q (filing date: 2017-09-05), 10-Q (filing date: 2017-06-06), 10-K (filing date: 2017-04-04), 10-Q (filing date: 2016-11-29), 10-Q (filing date: 2016-09-02), 10-Q (filing date: 2016-05-31), 10-K (filing date: 2016-03-29), 10-Q (filing date: 2015-12-02), 10-Q (filing date: 2015-09-01), 10-Q (filing date: 2015-06-02).

Short-term activity ratio Description The company
Inventory turnover An activity ratio calculated as cost of goods sold divided by inventory. Lowe’s Cos. Inc.’s inventory turnover ratio improved from Q3 2021 to Q4 2021 but then deteriorated significantly from Q4 2021 to Q1 2022.
Payables turnover An activity ratio calculated as cost of goods sold divided by payables. Lowe’s Cos. Inc.’s payables turnover ratio increased from Q3 2021 to Q4 2021 but then slightly decreased from Q4 2021 to Q1 2022 not reaching Q3 2021 level.
Working capital turnover An activity ratio calculated as revenue divided by working capital. Lowe’s Cos. Inc.’s working capital turnover ratio improved from Q3 2021 to Q4 2021 but then slightly deteriorated from Q4 2021 to Q1 2022.

Short-term activity ratio Description The company
Average inventory processing period An activity ratio equal to the number of days in the period divided by inventory turnover over the period. Lowe’s Cos. Inc.’s number of days of inventory outstanding improved from Q3 2021 to Q4 2021 but then deteriorated significantly from Q4 2021 to Q1 2022.
Average payables payment period An estimate of the average number of days it takes a company to pay its suppliers; equal to the number of days in the period divided by payables turnover ratio for the period.

Inventory Turnover

Lowe’s Cos. Inc., inventory turnover calculation (quarterly data)

Microsoft Excel LibreOffice Calc
Apr 30, 2021 Jan 29, 2021 Oct 30, 2020 Jul 31, 2020 May 1, 2020 Jan 31, 2020 Nov 1, 2019 Aug 2, 2019 May 3, 2019 Feb 1, 2019 Nov 2, 2018 Aug 3, 2018 May 4, 2018 Feb 2, 2018 Nov 3, 2017 Aug 4, 2017 May 5, 2017 Feb 3, 2017 Oct 28, 2016 Jul 29, 2016 Apr 29, 2016 Jan 29, 2016 Oct 30, 2015 Jul 31, 2015 May 1, 2015
Selected Financial Data (US$ in millions)
Cost of sales 16,292  13,856  15,009  17,998  13,162  11,045  11,748  14,252  12,160  10,748  12,038  14,003  11,612  10,268  11,057  12,825  11,060  10,352  10,332  11,972  9,897  8,650  9,370  11,367  9,117 
Merchandise inventory, net 18,382  16,193  15,712  13,831  14,283  13,179  13,716  13,730  15,026  12,561  12,365  11,885  13,204  11,393  12,393  11,407  12,254  10,458  10,990  10,604  11,055  9,458  10,434  9,704  10,614 
Short-term Activity Ratio
Inventory turnover1 3.44 3.71 3.64 3.90 3.52 3.73 3.57 3.58 3.26 3.85 3.88 3.95 3.47 3.97 3.65 3.91 3.57 4.07 3.72 3.76 3.55 4.07
Benchmarks
Inventory Turnover, Competitors2
Amazon.com Inc. 10.54 9.80 8.76 9.81 9.33 8.08 8.33 7.97 8.66 8.10 8.38 8.59 8.69 6.98 7.47 8.35 8.66 7.70
Home Depot Inc. 4.87 5.25 5.13 5.83 4.93 5.00 4.65 4.91 4.65 5.10 4.70 4.88 4.65 5.22 4.87 4.98 4.63 4.96 4.64 4.92 4.50 4.93
Target Corp. 6.49 6.21 4.94 6.78 6.65 6.10 4.80 5.95 5.95 5.61 4.30 5.75 5.97 5.91 4.66 5.95 6.11 5.88 4.91 5.83 6.06 6.05
TJX Cos. Inc. 5.35 5.66 5.08 6.88 5.59 6.13 4.64 5.64 5.59 6.08 4.99 5.96 5.98 6.09 5.17 6.24 6.35 6.47 5.28 5.90 5.76 5.96

Based on: 10-Q (filing date: 2021-05-27), 10-K (filing date: 2021-03-22), 10-Q (filing date: 2020-11-25), 10-Q (filing date: 2020-08-26), 10-Q (filing date: 2020-05-28), 10-K (filing date: 2020-03-23), 10-Q (filing date: 2019-12-04), 10-Q (filing date: 2019-09-03), 10-Q (filing date: 2019-06-03), 10-K (filing date: 2019-04-02), 10-Q (filing date: 2018-12-06), 10-Q (filing date: 2018-09-04), 10-Q (filing date: 2018-06-05), 10-K (filing date: 2018-04-02), 10-Q (filing date: 2017-12-05), 10-Q (filing date: 2017-09-05), 10-Q (filing date: 2017-06-06), 10-K (filing date: 2017-04-04), 10-Q (filing date: 2016-11-29), 10-Q (filing date: 2016-09-02), 10-Q (filing date: 2016-05-31), 10-K (filing date: 2016-03-29), 10-Q (filing date: 2015-12-02), 10-Q (filing date: 2015-09-01), 10-Q (filing date: 2015-06-02).

1 Q1 2022 Calculation
Inventory turnover = (Cost of salesQ1 2022 + Cost of salesQ4 2021 + Cost of salesQ3 2021 + Cost of salesQ2 2021) ÷ Merchandise inventory, net
= (16,292 + 13,856 + 15,009 + 17,998) ÷ 18,382 = 3.44

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Inventory turnover An activity ratio calculated as cost of goods sold divided by inventory. Lowe’s Cos. Inc.’s inventory turnover ratio improved from Q3 2021 to Q4 2021 but then deteriorated significantly from Q4 2021 to Q1 2022.

Payables Turnover

Lowe’s Cos. Inc., payables turnover calculation (quarterly data)

Microsoft Excel LibreOffice Calc
Apr 30, 2021 Jan 29, 2021 Oct 30, 2020 Jul 31, 2020 May 1, 2020 Jan 31, 2020 Nov 1, 2019 Aug 2, 2019 May 3, 2019 Feb 1, 2019 Nov 2, 2018 Aug 3, 2018 May 4, 2018 Feb 2, 2018 Nov 3, 2017 Aug 4, 2017 May 5, 2017 Feb 3, 2017 Oct 28, 2016 Jul 29, 2016 Apr 29, 2016 Jan 29, 2016 Oct 30, 2015 Jul 31, 2015 May 1, 2015
Selected Financial Data (US$ in millions)
Cost of sales 16,292  13,856  15,009  17,998  13,162  11,045  11,748  14,252  12,160  10,748  12,038  14,003  11,612  10,268  11,057  12,825  11,060  10,352  10,332  11,972  9,897  8,650  9,370  11,367  9,117 
Accounts payable 13,964  10,884  12,759  12,916  10,841  7,659  8,822  9,499  11,485  8,279  9,283  8,984  10,104  6,590  8,903  8,649  9,905  6,651  7,836  7,696  8,821  5,633  7,338  7,123  8,023 
Short-term Activity Ratio
Payables turnover1 4.52 5.51 4.48 4.18 4.63 6.42 5.54 5.18 4.26 5.85 5.16 5.22 4.53 6.86 5.09 5.15 4.41 6.40 5.21 5.18 4.45 6.84
Benchmarks
Payables Turnover, Competitors2
Amazon.com Inc. 3.93 3.22 3.57 3.77 4.39 3.51 4.37 4.11 4.47 3.64 4.30 4.61 4.78 3.23 3.93 4.48 4.86 3.49
Booking Holdings Inc. 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.03 0.09 0.20 0.38 0.36 0.55 0.94 1.02
Home Depot Inc. 6.44 7.52 6.42 6.73 7.35 9.33 7.91 7.62 6.99 9.16 7.66 7.29 6.90 9.19 7.63 7.51 6.90 8.90 7.63 7.32 6.83 8.87
Target Corp. 5.88 5.15 4.42 5.61 5.94 5.53 4.86 5.93 6.45 5.46 4.45 5.75 6.35 5.89 4.94 6.48 7.47 6.74 5.98 7.39 8.02 7.01
TJX Cos. Inc. 6.17 5.09 4.13 10.64 25.79 11.17 8.45 11.00 10.97 10.53 8.28 9.99 10.42 10.25 8.18 10.28 10.91 10.56 8.62 10.11 10.52 10.00

Based on: 10-Q (filing date: 2021-05-27), 10-K (filing date: 2021-03-22), 10-Q (filing date: 2020-11-25), 10-Q (filing date: 2020-08-26), 10-Q (filing date: 2020-05-28), 10-K (filing date: 2020-03-23), 10-Q (filing date: 2019-12-04), 10-Q (filing date: 2019-09-03), 10-Q (filing date: 2019-06-03), 10-K (filing date: 2019-04-02), 10-Q (filing date: 2018-12-06), 10-Q (filing date: 2018-09-04), 10-Q (filing date: 2018-06-05), 10-K (filing date: 2018-04-02), 10-Q (filing date: 2017-12-05), 10-Q (filing date: 2017-09-05), 10-Q (filing date: 2017-06-06), 10-K (filing date: 2017-04-04), 10-Q (filing date: 2016-11-29), 10-Q (filing date: 2016-09-02), 10-Q (filing date: 2016-05-31), 10-K (filing date: 2016-03-29), 10-Q (filing date: 2015-12-02), 10-Q (filing date: 2015-09-01), 10-Q (filing date: 2015-06-02).

1 Q1 2022 Calculation
Payables turnover = (Cost of salesQ1 2022 + Cost of salesQ4 2021 + Cost of salesQ3 2021 + Cost of salesQ2 2021) ÷ Accounts payable
= (16,292 + 13,856 + 15,009 + 17,998) ÷ 13,964 = 4.52

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Payables turnover An activity ratio calculated as cost of goods sold divided by payables. Lowe’s Cos. Inc.’s payables turnover ratio increased from Q3 2021 to Q4 2021 but then slightly decreased from Q4 2021 to Q1 2022 not reaching Q3 2021 level.

Working Capital Turnover

Lowe’s Cos. Inc., working capital turnover calculation (quarterly data)

Microsoft Excel LibreOffice Calc
Apr 30, 2021 Jan 29, 2021 Oct 30, 2020 Jul 31, 2020 May 1, 2020 Jan 31, 2020 Nov 1, 2019 Aug 2, 2019 May 3, 2019 Feb 1, 2019 Nov 2, 2018 Aug 3, 2018 May 4, 2018 Feb 2, 2018 Nov 3, 2017 Aug 4, 2017 May 5, 2017 Feb 3, 2017 Oct 28, 2016 Jul 29, 2016 Apr 29, 2016 Jan 29, 2016 Oct 30, 2015 Jul 31, 2015 May 1, 2015
Selected Financial Data (US$ in millions)
Current assets 26,816  22,326  26,916  27,717  21,926  15,318  15,662  16,796  19,335  14,228  15,138  15,483  16,033  12,772  14,009  14,033  15,276  12,000  12,728  13,351  16,473  10,561  12,395  11,366  12,791 
Less: Current liabilities 22,892  18,730  19,564  21,370  18,325  15,182  15,063  15,835  17,781  14,497  15,069  14,581  15,774  12,096  13,738  13,625  14,686  11,974  12,633  13,183  14,121  10,492  12,162  12,141  12,970 
Working capital 3,924  3,596  7,352  6,347  3,601  136  599  961  1,554  (269) 69  902  259  676  271  408  590  26  95  168  2,352  69  233  (775) (179)
 
Net sales 24,422  20,311  22,309  27,302  19,675  16,027  17,388  20,992  17,741  15,646  17,415  20,888  17,360  15,494  16,770  19,495  16,860  15,784  15,739  18,260  15,234  13,237  14,360  17,348  14,129 
Short-term Activity Ratio
Working capital turnover1 24.04 24.92 11.60 12.67 20.57 530.50 119.81 74.71 46.13 1,031.26 78.17 266.87 101.51 254.28 166.37 112.95 2,500.65 657.58 363.64 25.59 856.14
Benchmarks
Working Capital Turnover, Competitors2
Amazon.com Inc. 69.81 60.82 31.47 18.92 47.22 32.92 38.37 35.44 42.11 34.71 48.44 56.56 69.39 76.87 107.01 308.26 69.18 69.20
Booking Holdings Inc. 0.74 0.77 1.03 1.50 2.83 3.37 3.30 4.02 9.62 2.99 2.55 2.85 2.61 2.29 2.22 2.54 2.95 4.22
Home Depot Inc. 48.51 24.87 13.79 16.66 28.53 76.81 68.95 57.87 124.59 59.68 65.46 43.91 33.09 36.84 26.96 20.77 27.68 26.34 18.99 20.84 23.41 19.82
Target Corp. 72.70 146.43 91.95 48.30 389.66 352.16 143.21 37.77 48.93
TJX Cos. Inc. 7.40 6.51 6.91 8.72 6.55 23.97 24.08 23.99 26.62 13.27 11.75 11.43 10.67 10.67 11.76 11.64 11.36 11.09 10.72 12.87 12.25 13.06

Based on: 10-Q (filing date: 2021-05-27), 10-K (filing date: 2021-03-22), 10-Q (filing date: 2020-11-25), 10-Q (filing date: 2020-08-26), 10-Q (filing date: 2020-05-28), 10-K (filing date: 2020-03-23), 10-Q (filing date: 2019-12-04), 10-Q (filing date: 2019-09-03), 10-Q (filing date: 2019-06-03), 10-K (filing date: 2019-04-02), 10-Q (filing date: 2018-12-06), 10-Q (filing date: 2018-09-04), 10-Q (filing date: 2018-06-05), 10-K (filing date: 2018-04-02), 10-Q (filing date: 2017-12-05), 10-Q (filing date: 2017-09-05), 10-Q (filing date: 2017-06-06), 10-K (filing date: 2017-04-04), 10-Q (filing date: 2016-11-29), 10-Q (filing date: 2016-09-02), 10-Q (filing date: 2016-05-31), 10-K (filing date: 2016-03-29), 10-Q (filing date: 2015-12-02), 10-Q (filing date: 2015-09-01), 10-Q (filing date: 2015-06-02).

1 Q1 2022 Calculation
Working capital turnover = (Net salesQ1 2022 + Net salesQ4 2021 + Net salesQ3 2021 + Net salesQ2 2021) ÷ Working capital
= (24,422 + 20,311 + 22,309 + 27,302) ÷ 3,924 = 24.04

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Working capital turnover An activity ratio calculated as revenue divided by working capital. Lowe’s Cos. Inc.’s working capital turnover ratio improved from Q3 2021 to Q4 2021 but then slightly deteriorated from Q4 2021 to Q1 2022.

Average Inventory Processing Period

Lowe’s Cos. Inc., average inventory processing period calculation (quarterly data)

Microsoft Excel LibreOffice Calc
Apr 30, 2021 Jan 29, 2021 Oct 30, 2020 Jul 31, 2020 May 1, 2020 Jan 31, 2020 Nov 1, 2019 Aug 2, 2019 May 3, 2019 Feb 1, 2019 Nov 2, 2018 Aug 3, 2018 May 4, 2018 Feb 2, 2018 Nov 3, 2017 Aug 4, 2017 May 5, 2017 Feb 3, 2017 Oct 28, 2016 Jul 29, 2016 Apr 29, 2016 Jan 29, 2016 Oct 30, 2015 Jul 31, 2015 May 1, 2015
Selected Financial Data
Inventory turnover 3.44 3.71 3.64 3.90 3.52 3.73 3.57 3.58 3.26 3.85 3.88 3.95 3.47 3.97 3.65 3.91 3.57 4.07 3.72 3.76 3.55 4.07
Short-term Activity Ratio (no. days)
Average inventory processing period1 106 98 100 94 104 98 102 102 112 95 94 92 105 92 100 93 102 90 98 97 103 90
Benchmarks (no. days)
Average Inventory Processing Period, Competitors2
Amazon.com Inc. 35 37 42 37 39 45 44 46 42 45 44 42 42 52 49 44 42 47
Home Depot Inc. 75 70 71 63 74 73 78 74 78 72 78 75 78 70 75 73 79 74 79 74 81 74
Target Corp. 56 59 74 54 55 60 76 61 61 65 85 63 61 62 78 61 60 62 74 63 60 60
TJX Cos. Inc. 68 65 72 53 65 60 79 65 65 60 73 61 61 60 71 58 57 56 69 62 63 61

Based on: 10-Q (filing date: 2021-05-27), 10-K (filing date: 2021-03-22), 10-Q (filing date: 2020-11-25), 10-Q (filing date: 2020-08-26), 10-Q (filing date: 2020-05-28), 10-K (filing date: 2020-03-23), 10-Q (filing date: 2019-12-04), 10-Q (filing date: 2019-09-03), 10-Q (filing date: 2019-06-03), 10-K (filing date: 2019-04-02), 10-Q (filing date: 2018-12-06), 10-Q (filing date: 2018-09-04), 10-Q (filing date: 2018-06-05), 10-K (filing date: 2018-04-02), 10-Q (filing date: 2017-12-05), 10-Q (filing date: 2017-09-05), 10-Q (filing date: 2017-06-06), 10-K (filing date: 2017-04-04), 10-Q (filing date: 2016-11-29), 10-Q (filing date: 2016-09-02), 10-Q (filing date: 2016-05-31), 10-K (filing date: 2016-03-29), 10-Q (filing date: 2015-12-02), 10-Q (filing date: 2015-09-01), 10-Q (filing date: 2015-06-02).

1 Q1 2022 Calculation
Average inventory processing period = 365 ÷ Inventory turnover
= 365 ÷ 3.44 = 106

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Average inventory processing period An activity ratio equal to the number of days in the period divided by inventory turnover over the period. Lowe’s Cos. Inc.’s number of days of inventory outstanding improved from Q3 2021 to Q4 2021 but then deteriorated significantly from Q4 2021 to Q1 2022.

Average Payables Payment Period

Lowe’s Cos. Inc., average payables payment period calculation (quarterly data)

Microsoft Excel LibreOffice Calc
Apr 30, 2021 Jan 29, 2021 Oct 30, 2020 Jul 31, 2020 May 1, 2020 Jan 31, 2020 Nov 1, 2019 Aug 2, 2019 May 3, 2019 Feb 1, 2019 Nov 2, 2018 Aug 3, 2018 May 4, 2018 Feb 2, 2018 Nov 3, 2017 Aug 4, 2017 May 5, 2017 Feb 3, 2017 Oct 28, 2016 Jul 29, 2016 Apr 29, 2016 Jan 29, 2016 Oct 30, 2015 Jul 31, 2015 May 1, 2015
Selected Financial Data
Payables turnover 4.52 5.51 4.48 4.18 4.63 6.42 5.54 5.18 4.26 5.85 5.16 5.22 4.53 6.86 5.09 5.15 4.41 6.40 5.21 5.18 4.45 6.84
Short-term Activity Ratio (no. days)
Average payables payment period1 81 66 81 87 79 57 66 70 86 62 71 70 81 53 72 71 83 57 70 70 82 53
Benchmarks (no. days)
Average Payables Payment Period, Competitors2
Amazon.com Inc. 93 113 102 97 83 104 84 89 82 100 85 79 76 113 93 81 75 105
Booking Holdings Inc. 12,933 4,151 1,857 972 1,016 659 387 357
Home Depot Inc. 57 49 57 54 50 39 46 48 52 40 48 50 53 40 48 49 53 41 48 50 53 41
Target Corp. 62 71 83 65 61 66 75 62 57 67 82 63 57 62 74 56 49 54 61 49 45 52
TJX Cos. Inc. 59 72 88 34 14 33 43 33 33 35 44 37 35 36 45 35 33 35 42 36 35 36

Based on: 10-Q (filing date: 2021-05-27), 10-K (filing date: 2021-03-22), 10-Q (filing date: 2020-11-25), 10-Q (filing date: 2020-08-26), 10-Q (filing date: 2020-05-28), 10-K (filing date: 2020-03-23), 10-Q (filing date: 2019-12-04), 10-Q (filing date: 2019-09-03), 10-Q (filing date: 2019-06-03), 10-K (filing date: 2019-04-02), 10-Q (filing date: 2018-12-06), 10-Q (filing date: 2018-09-04), 10-Q (filing date: 2018-06-05), 10-K (filing date: 2018-04-02), 10-Q (filing date: 2017-12-05), 10-Q (filing date: 2017-09-05), 10-Q (filing date: 2017-06-06), 10-K (filing date: 2017-04-04), 10-Q (filing date: 2016-11-29), 10-Q (filing date: 2016-09-02), 10-Q (filing date: 2016-05-31), 10-K (filing date: 2016-03-29), 10-Q (filing date: 2015-12-02), 10-Q (filing date: 2015-09-01), 10-Q (filing date: 2015-06-02).

1 Q1 2022 Calculation
Average payables payment period = 365 ÷ Payables turnover
= 365 ÷ 4.52 = 81

2 Click competitor name to see calculations.

Short-term activity ratio Description The company
Average payables payment period An estimate of the average number of days it takes a company to pay its suppliers; equal to the number of days in the period divided by payables turnover ratio for the period.