Goldman Sachs Maintains Neutral on Lowe's Companies (LOW)

Goldman Sachs is out with its report today on Lowe's Companies LOW, maintaining Neutral after LOW lowered 2011 guidance. In a note to clients, Goldman Sachs writes, "The firm cut 2011 guidance to a range of $1.56-$1.64 from a range of $1.60-$1.72, i.e. 4c at the low end, and 8c at the high end, despite having achieved the low end of its 1Q range. SSS are guided 0% to +1%, vs. +1%-2% previously, while EBIT margin is guided +10 bp, vs. +30 bp previously. While we would applaud conservative guidance, the arithmetic of footing LOW's itemized guidance vs. its bottom line conclusion does not foot perfectly; using its line items, it is very tough to get to the low end, but relatively easy to get above the high end." At the time of posting, shares of LOW were trading at $25.08, down 2.64% from Friday's close.