LOW & A: Should you watch these S&P 500 stocks in June?

Summary

• The S&P 500 measures the strength of the financial sector and is a crucial element across investment products.
• Lowe’s Companies, a retailer in the home improvement segment, reported first quarter 2023 net earnings of US$ 2.3 billion.
• Agilent has operations across a diversified range of businesses and reported revenue of US$ 1.72 billion in Q2 FY23.

The strength of the S&P 500 index is tantamount to the soundness of the financial sector. It is a barometer to gauge how the top 500 publicly listed companies are performing. However, the applicability of the index goes beyond just understanding how the market is functioning.

The index is a crucial element across investment products as it is used to make investment decisions. The companies listed in this index are generally some of the leading corporations across industries, with large market capitalizations.

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Notably, these companies may have stable earnings and are likely to be profitable entities. Are Lowe’s Companies and Agilent Technologies two such profitable stocks in the S&P 500? Find out in this article.

Lowe’s Companies Inc. (NYSE: LOW)

Lowe’s Companies is a retailer in the home refurbishing market segment that operates in the United States and Canada. Lowe’s client base includes individual customers and businesses that require decor, repair and modeling needs fulfilled.

The company reported first quarter 2023 net earnings of US$ 2.3 billion and diluted earnings per share of US$ 3.77. Lowe’s Companies reported total sales of US$ 22.3 billion for the three months ended May 5, 2023. The company’s operating income was US$ 3.288 billion for Q1 2023. The cash and cash equivalents were US$ 2.95 billion for the quarter.

Image source: ©2023 Kalkine®; Data source: Company Reports

Lowe’s has declared a quarterly cash dividend of US$ 1.10 per share, which is 5% higher than its previous dividend of US 1.05 per share.

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Agilent Technologies Inc. (NYSE: A)

Agilent is a company that has operations across a diversified range of businesses. It generates more than half of its sales from the biopharmaceutical, chemical and energy end markets and with US and China being its dominant markets.

For Q2 FY23, Agilent reported revenue of US$ 1.72 billion, which marked 6.8% growth year-over-year. The net income for the quarter was US$ 302 million with earnings per share of US$ 1.02, higher by 12% over Q2 2022.

Agilent expects the revenue in the third quarter to fall in the range of US$ 1.640 billion to US$ 1.675 billion. The earnings guidance for the company is predicted to fall in the range of US$ 1.36 to US$ 1.38 per share.

Image source: ©2023 Kalkine®; Data source: Company Reports

Agilent also declared a cash dividend of US$ 0.225 per share to be paid on July 26, 2023, to all holders of common stock.