Deutsche Bank Maintains Buy on Lowe's

Deutsche Bank is out with its report today on Lowe's LOW, maintaining Buy. In its report, Deutsche Bank writes, "We expect cap ex to be $1.25b in 2012 and stay at that level through 2015. This is a 38% reduction from this year's $2b, primarily as net domestic store growth is over. In addition, we estimate that LOW could increase its current leverage ratio target of 1.8x adjusted debt to EBITDAR, allowing greater debt to facilitate buybacks. As such, LOW's buyback plan remains $18b through 2015 compared to its current market cap of $25b. Buy." Deutsche Bank maintains a $26 PT on LOW. Shares of LOW closed Thursday at $19.99, up 2.09% from Wednesday's close.