LOW 32% reduction in shares outstanding since FY17 ~$53 B in buybacks

DividendWave
03-16

$Lowe's(LOW)$ 32% reduction in shares outstanding since FY17 ~$53 B in buybacks

~$11 B current buyback authorization

~$127 B current market cap

These buybacks have materially improved FCF/share (next tweets)

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LOW Debt

First the caveat

Buybacks have largely been financed by debt

Net debt increased from $6B at the end of FY17 to $33 B at the end of FY24

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LOW Cash flow picture

Cash flow from operations (OCF) peaked in FY20 FY24 saw the reversal of a downtrend in OCF

Although FY24 OCF is still 13% lower than FY20

FCF/share has improved 10% vs FY20 (see previous tweet)

Effect of shares outstanding reduction from buybacks

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LOW FCF/share

FY24 saw record FCF/share

+10% FCF/share vs previous record in FY20

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LOW Dividends

A side benefit of shares outstanding reduction has been the sustained dividend payout (33% in FY24 - see previous tweet)

Since FY19 Dividend per share ($)+118%

Dividend payments ($ B) +59%

Gap is from shares being retired and respective dividend not paid

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