Stock Market Update

[BRIEFING.COM] The S&P 500 (+0.5%), Nasdaq Composite (+1.1%), and DJIA (+0.2%) hold varying gains as broader weakness weighs against a strong start across mega-cap and tech stocks. 

Lowe's (LOW 265.66, -12.93, -4.64%) is trading sharply lower following its 4Q26 report, as investors focus on a softer-than-expected FY27 EPS outlook despite the company delivering beats on earnings, revenue, and comparable sales. In the wake of Home Depot (HD 372.46, -12.02, -3.13%) better-than-expected Q4 results and in-line FY26 guidance, the bar was raised for Lowe's, particularly with shares up roughly 15% year-to-date heading into the print. While Q4 results showed improving demand trends and solid execution, management's more cautious profit outlook appears to be tempering enthusiasm.

Despite a fundamentally solid Q4—including a stronger comp than HD—Lowe's is being penalized for cautious FY27 EPS guidance, suggesting margin pressure or limited operating leverage in a still muted housing environment. 

That guidance weighs heavily on homebuilder names today, such as Lennar (LEN 109.96, -6.44, -5.54%) and PulteGroup (PHM 133.25, -7.65, -5.43%), which are among the worst performers in the consumer discretionary (+0.1%) sector. The iShares U.S. Home Construction ETF is down 4.2%.