Goldman Sachs Comments On American Home Improvement Sector (HD, LOW)

Goldman Sachs provided color on the American Home Improvement industry sector, focusing on Home Depot HD and Lowe's LOW in a research report published today. In the report, Goldman Sachs states, "The comp gap between HD and LOW was bigger than we anticipated, but in a sense less significant. HD's comp-store sales edge was greatest in November, and focused around appliance promotions. The gap moderated in January, though in the US it remained significant at 1.3%, essentially in line with 3Q. We see a gap persisting at least through 1Q, and note that HD seems to be hitting merchandising and marketing on more cylinders." In the report, Goldman Sachs raised its Lowe's price target from $28 to $30 and maintained its Lowe's Neutral rating. Goldman Sachs maintained its Home Depot Buy rating and $43 price target on Home Depot.