Financial rags have been critical of Lowe’s performace as compared to Home Depot. They’re right to compare the chains, but fail to understand the underlying reason for Lowe’s poor sales growth and other technical shortfalls.
The worst has yet to come.
Lowe’s new CEO, Marvin Ellison, is prioritizing cost-cutting and stock buybacks instead of investing in the business. This is a short-term strategy that will not only be unsuccessful, it will deeply damage the chain’s long-term prospects. ...