Diamonds and Dogs
Lowe's (LOW) trading at a new recent high. The No. 2 U.S. home improvement retailer is jumping 10% following better than expected earnings. Lowes also raised 2018 earnings and sales guidance above consensus. Revenue rose 19.3% year/year to $15.78 billion. Homebuilding in the United States jumped 11.3 percent in December as a firming economy and higher wages due to a tightening labor market boosted demand for housing. The company expects to add approximately 35 home improvement and hardware stores.
Palo Alto Networks (PANW) is getting hit hard down 22% near a 52 week low after missing earnings and sales estimates while also guiding current quarter earnings and sales guidance below consensus. Management said sales strategy that had worked before suddenly stopped producing the results it had in the past. Palo Alto received nine downgrades. Not a good day when virtually everything else is working.