Seek Returns logo

LOW vs. PDD: A Head-to-Head Stock Comparison

Updated on

Here’s a clear look at LOW and PDD, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

LOW is a standard domestic listing, while PDD trades as an American Depositary Receipt (ADR), offering U.S. investors access to its foreign-listed shares.

SymbolLOWPDD
Company NameLowe's Companies, Inc.PDD Holdings Inc.
CountryUnited StatesIreland
GICS SectorConsumer DiscretionaryConsumer Discretionary
GICS IndustrySpecialty RetailBroadline Retail
Market Capitalization144.11 billion USD167.52 billion USD
ExchangeNYSENasdaqGS
Listing DateMarch 17, 1980July 26, 2018
Security TypeCommon StockADR

Historical Performance

This chart compares the performance of LOW and PDD by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

LOW vs. PDD: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolLOWPDD
5-Day Price Return1.62%2.84%
13-Week Price Return9.69%-0.38%
26-Week Price Return1.77%-2.91%
52-Week Price Return5.73%-21.91%
Month-to-Date Return15.02%4.01%
Year-to-Date Return4.19%21.66%
10-Day Avg. Volume3.60M6.23M
3-Month Avg. Volume2.76M7.76M
3-Month Volatility23.35%38.70%
Beta0.880.39

Profitability

Return on Equity (TTM)

LOW

264.53%

Specialty Retail Industry

Max
61.19%
Q3
37.24%
Median
18.81%
Q1
8.92%
Min
-13.03%

LOW’s Return on Equity of 264.53% is exceptionally high, placing it well beyond the typical range for the Specialty Retail industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

PDD

33.75%

Broadline Retail Industry

Max
49.17%
Q3
28.98%
Median
19.22%
Q1
10.86%
Min
-11.14%

In the upper quartile for the Broadline Retail industry, PDD’s Return on Equity of 33.75% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

LOW vs. PDD: A comparison of their Return on Equity (TTM) against their respective Specialty Retail and Broadline Retail industry benchmarks.

Net Profit Margin (TTM)

LOW

8.22%

Specialty Retail Industry

Max
21.28%
Q3
10.68%
Median
6.08%
Q1
2.43%
Min
-4.54%

LOW’s Net Profit Margin of 8.22% is aligned with the median group of its peers in the Specialty Retail industry. This indicates its ability to convert revenue into profit is typical for the sector.

PDD

24.63%

Broadline Retail Industry

Max
19.78%
Q3
11.90%
Median
8.63%
Q1
5.21%
Min
0.82%

PDD’s Net Profit Margin of 24.63% is exceptionally high, placing it well beyond the typical range for the Broadline Retail industry. This demonstrates outstanding operational efficiency and a strong competitive advantage in converting revenue into profit.

LOW vs. PDD: A comparison of their Net Profit Margin (TTM) against their respective Specialty Retail and Broadline Retail industry benchmarks.

Operating Profit Margin (TTM)

LOW

12.38%

Specialty Retail Industry

Max
33.35%
Q3
15.84%
Median
9.34%
Q1
3.83%
Min
-8.97%

LOW’s Operating Profit Margin of 12.38% is around the midpoint for the Specialty Retail industry, indicating that its efficiency in managing core business operations is typical for the sector.

PDD

24.47%

Broadline Retail Industry

Max
27.23%
Q3
15.96%
Median
11.13%
Q1
8.31%
Min
1.77%

An Operating Profit Margin of 24.47% places PDD in the upper quartile for the Broadline Retail industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

LOW vs. PDD: A comparison of their Operating Profit Margin (TTM) against their respective Specialty Retail and Broadline Retail industry benchmarks.

Profitability at a Glance

SymbolLOWPDD
Return on Equity (TTM)264.53%33.75%
Return on Assets (TTM)15.37%20.50%
Net Profit Margin (TTM)8.22%24.63%
Operating Profit Margin (TTM)12.38%24.47%
Gross Profit Margin (TTM)33.37%59.73%

Financial Strength

Current Ratio (MRQ)

LOW

1.01

Specialty Retail Industry

Max
2.83
Q3
1.89
Median
1.39
Q1
1.11
Min
0.64

LOW’s Current Ratio of 1.01 falls into the lower quartile for the Specialty Retail industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

PDD

2.27

Broadline Retail Industry

Max
3.54
Q3
2.42
Median
1.49
Q1
1.22
Min
0.67

PDD’s Current Ratio of 2.27 aligns with the median group of the Broadline Retail industry, indicating that its short-term liquidity is in line with its sector peers.

LOW vs. PDD: A comparison of their Current Ratio (MRQ) against their respective Specialty Retail and Broadline Retail industry benchmarks.

Debt-to-Equity Ratio (MRQ)

LOW

52.23

Specialty Retail Industry

Max
3.02
Q3
1.57
Median
0.64
Q1
0.20
Min
0.00

With a Debt-to-Equity Ratio of 52.23, LOW operates with exceptionally high leverage compared to the Specialty Retail industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

PDD

0.02

Broadline Retail Industry

Max
2.14
Q3
1.34
Median
0.63
Q1
0.27
Min
0.00

Falling into the lower quartile for the Broadline Retail industry, PDD’s Debt-to-Equity Ratio of 0.02 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.

LOW vs. PDD: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Specialty Retail and Broadline Retail industry benchmarks.

Interest Coverage Ratio (TTM)

LOW

7.97

Specialty Retail Industry

Max
48.12
Q3
35.95
Median
14.13
Q1
3.61
Min
-36.00

LOW’s Interest Coverage Ratio of 7.97 is positioned comfortably within the norm for the Specialty Retail industry, indicating a standard and healthy capacity to cover its interest payments.

PDD

--

Broadline Retail Industry

Max
37.34
Q3
20.63
Median
11.28
Q1
4.22
Min
-19.29

Interest Coverage Ratio data for PDD is currently unavailable.

LOW vs. PDD: A comparison of their Interest Coverage Ratio (TTM) against their respective Specialty Retail and Broadline Retail industry benchmarks.

Financial Strength at a Glance

SymbolLOWPDD
Current Ratio (MRQ)1.012.27
Quick Ratio (MRQ)0.192.25
Debt-to-Equity Ratio (MRQ)52.230.02
Interest Coverage Ratio (TTM)7.97--

Growth

Revenue Growth

LOW vs. PDD: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

LOW vs. PDD: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

LOW

1.79%

Specialty Retail Industry

Max
6.53%
Q3
2.69%
Median
1.08%
Q1
0.00%
Min
0.00%

LOW’s Dividend Yield of 1.79% is consistent with its peers in the Specialty Retail industry, providing a dividend return that is standard for its sector.

PDD

0.00%

Broadline Retail Industry

Max
5.46%
Q3
2.38%
Median
0.43%
Q1
0.00%
Min
0.00%

PDD currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

LOW vs. PDD: A comparison of their Dividend Yield (TTM) against their respective Specialty Retail and Broadline Retail industry benchmarks.

Dividend Payout Ratio (TTM)

LOW

37.67%

Specialty Retail Industry

Max
165.81%
Q3
80.94%
Median
31.61%
Q1
0.00%
Min
0.00%

LOW’s Dividend Payout Ratio of 37.67% is within the typical range for the Specialty Retail industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

PDD

0.00%

Broadline Retail Industry

Max
131.17%
Q3
63.48%
Median
29.43%
Q1
0.00%
Min
0.00%

PDD has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

LOW vs. PDD: A comparison of their Dividend Payout Ratio (TTM) against their respective Specialty Retail and Broadline Retail industry benchmarks.

Dividend at a Glance

SymbolLOWPDD
Dividend Yield (TTM)1.79%0.00%
Dividend Payout Ratio (TTM)37.67%0.00%

Valuation

Price-to-Earnings Ratio (TTM)

LOW

21.09

Specialty Retail Industry

Max
48.56
Q3
29.15
Median
22.00
Q1
15.46
Min
7.95

LOW’s P/E Ratio of 21.09 is within the middle range for the Specialty Retail industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

PDD

11.97

Broadline Retail Industry

Max
66.12
Q3
35.17
Median
16.29
Q1
10.47
Min
5.94

PDD’s P/E Ratio of 11.97 is within the middle range for the Broadline Retail industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

LOW vs. PDD: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Specialty Retail and Broadline Retail industry benchmarks.

Price-to-Sales Ratio (TTM)

LOW

1.73

Specialty Retail Industry

Max
5.08
Q3
2.69
Median
1.23
Q1
0.48
Min
0.09

LOW’s P/S Ratio of 1.73 aligns with the market consensus for the Specialty Retail industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

PDD

2.95

Broadline Retail Industry

Max
5.40
Q3
3.33
Median
2.04
Q1
0.80
Min
0.16

PDD’s P/S Ratio of 2.95 aligns with the market consensus for the Broadline Retail industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

LOW vs. PDD: A comparison of their Price-to-Sales Ratio (TTM) against their respective Specialty Retail and Broadline Retail industry benchmarks.

Price-to-Book Ratio (MRQ)

LOW

316.28

Specialty Retail Industry

Max
16.93
Q3
7.98
Median
3.69
Q1
1.79
Min
0.21

At 316.28, LOW’s P/B Ratio is at an extreme premium to the Specialty Retail industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

PDD

3.58

Broadline Retail Industry

Max
9.06
Q3
5.22
Median
3.48
Q1
1.90
Min
0.74

PDD’s P/B Ratio of 3.58 is within the conventional range for the Broadline Retail industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

LOW vs. PDD: A comparison of their Price-to-Book Ratio (MRQ) against their respective Specialty Retail and Broadline Retail industry benchmarks.

Valuation at a Glance

SymbolLOWPDD
Price-to-Earnings Ratio (TTM)21.0911.97
Price-to-Sales Ratio (TTM)1.732.95
Price-to-Book Ratio (MRQ)316.283.58
Price-to-Free Cash Flow Ratio (TTM)21.6110.20