(Reuters) – Lowe’s Cos Inc (LOW.N) warned on Wednesday that high spending on do-it-yourself projects by people hunkered down at home due to coronavirus lockdowns would taper off in the coming months, as a deep economic recession looms on the horizon.
FILE PHOTO: A Lowe’s retail store is shown in Carlsbad, California, U.S., May 24, 2017. REUTERS/Mike Blake/File Photo
The home improvement chain’s shares rose as much as 8% in premarket trading after it reported its biggest rise in quarterly same-store sales in at least 15 years, but comments on the retailer’s outlook from Chief Executive Officer Marvin Ellison quickly chilled investor optimism.
“This is, without question, the most challenging environment that any of us have ever worked in. And when we look at what the customers are buying and we look at the sustainability of it, we don’t see what occurred in Q1 (to continue),” Ellison said in a call with analysts.
Sales at Lowe’s and rival Home Depot (HD.N) both surged…
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