Lowe’s second‑quarter net sales rose to $25.96 billion from $23.96 billion, yet the retailer trimmed its 2026 outlook as price‑conscious homeowners postpone major renovations. The company cut its full‑year sales target to $92 billion, the low end of its former $92 billion‑$94 billion range, and lowered profit guidance. Despite higher sales, the uptick was insufficient to offset the slowdown in large‑scale renovations.

Comparable‑store sales are now expected to be flat, down from a forecast of flat to 2 % growth. The downgrade reflects a broader cooling across the home‑improvement sector, where steep interest rates and sticky inflation push budget‑squeezed households to defer big‑ticket projects. The slowdown is also evident in lower average transaction sizes and reduced demand for premium materials. Home Depot has fared better, beating quarterly expectations and maintaining its year‑long guidance.

Earnings per share targets were also reduced. The company now projects $11.75 EPS, versus the previous $11.75‑$12.25 range, with adjusted EPS of $12.25, down from $12.25‑$12.75. Analysts still see adjusted EPS of $12.43. The downgrade signals caution as the company reassesses inventory and promotional strategies.

The revision underscores how shifting consumer debt appetite and higher borrowing costs are reshaping the DIY market, leaving retailers like Lowe’s to navigate a tougher second half of the year. Retail analysts predict webinars and digital tools will become more critical as homeowners seek to manage projects on tighter budgets.