Lowes Just Warned Stock Real Estate Investors

➡ Lowe’s has lowered its full-year sales outlook as customers spent less on DIY projects, leading to a nearly 13% fall in fiscal third quarter sales year over year. The home improvement retailer now anticipates sales of $86 billion for the fiscal year, down from a previously expected range of $87 to $89 billion, with shares falling almost 3% in early trading and comparable sales projected to drop by around 5% this financial year.
➡ The message urges for the transfer of wealth from big hedge funds to individuals through real estate market leverage, as spoken by a persona named Economic Ninja.

Here. I hope you’re doing great. We’re going to talk about Lowe’s. They just warned Wall Street. They just warned home investors what’s going on. This is more than just Home Depot earnings. It is an entire sector, an industry. It is a snapshot of the market and what’s really happening. So stock investors, even if you’re not invested in home do it centers and the real estate market, you need to pay attention to this because they’re talking about the consumer and they are losing faith in the consumer’s ability to continue moving forward for lack of better terms.

All right, so let’s talk about this. This is just out of CNBC. Lowe’s cut sales outlook as homeowners take on fewer projects and the shares slide. It says right here. Lowe’s on Tuesday lowered its full year sales outlook after customers spent less on Doityourself projects and caused its fiscal third quarter sales to tumble by nearly 13% year over year. Shares of the company fell nearly 3% in early trading.

The home improvement retailer said it now anticipates that sales will total about 86 billion for the fiscal year it had previously expected, a range of 87 to 89 billion. It projects comparable sales will drop by about 5% this fiscal year, worse than a previously anticipated decline of between 2% and 4%. The company expects adjusted earnings per share to be about $13 lower than it previously expected. A range of between 1320 and 1360 it says here.

On a call with investors, CEO Marvin Ellison said Lowe’s felt a greater than expected pullback. Very important that you realize that you think about the way they’re wording this because a couple things. The CEO, the C Suite, Execs, the company itself is trying to relay a message to you to forecast what’s coming in the future. In a way, though, that you don’t sell their shares and cause a stock sell off.

Okay, I did a story like a week ago where I went through Home Depot’s quarterly earnings, third quarter earnings, but then I also read you the same third quarter earnings report from 2006 and 2008 because you have to see how this is riding a real estate correction. It’s all over the market and there’s a fake out coming. People need to be ready for this. When I say fake out, there’s going to be this short time of euphoria, about six months, maybe a little bit longer, maybe in 2024, where people think that they got in control of it.

And there’s going to be a lot of hopeful words coming out of companies like this saying that they see a turn around the corner and it’s going to be a head fake because the fact of the matter is the Fed has not gotten in control of inflation. You’re seeing the government lie about numbers and the consumers getting beat down by higher energy costs and higher food costs. And I will tell you this.

This euphoria that’s coming is going to be a part of this whole drop in oil price, which caused gasoline prices to drop. And they’re going to be chanting and raving and screaming to the hilltops about this over the next eight weeks when this data comes out. But I’m telling you right now, they have not gotten in control of control over inflation, all right? And this right here is going to show you.

This is where the proof is. So again, Lowe’s stating that this was a larger than expected drop or sorry, a greater than expected pullback, all right, by customers on discretionary projects and big ticket purchases. He says, while we’ve seen a more cautious consumer for some time now, this quarter we saw some of these consumers increasingly prioritizing experiences over goods spending on travel and entertainment. He said, and again, I have to remind you, I did this a year ago.

Why would Lowe’s, why would Home Depot care about where you are spending your money on vacations? Because this tells them a lot of what’s coming into the future. Real quick, I want to say thank you for the super chat. And he says, here, blessings. Happy Thanksgiving. My company manufactures long term non GMO food supply, clean foods. Let us sponsor your channel. Please send me an email, and we’ll see if we can figure something out.

But look, the fact of the matter is, guys, these companies care more about where you’re spending your money in vacations because they’re trying to figure out why you’re not spending your money here. See, the real estate market is already tanking. And these words, these phrases, greater than expected pullbacks, are exactly what were spoken in 2006 and 2007. This crash is going to be faster, but there’s a whipsaw effect that’s about to come this springtime.

You’re going to see it. It’s going to fool so many people. And the only reason I keep hammering this over this next couple of weeks is because I want it to be written down. There’s a lot of calls that I made that came pass, and I don’t sit there and jump on my high horse and say, hey, look, it’s because these are easy, identifiable patterns. I’m not some brilliant dude, all right? There’s nothing fancy about me.

These are easily identifiable patterns that happen throughout history and throughout economies and markets. And so this one shows you, along with Home Depot, that the entire sector is in pain. As a matter of fact, I got a phone call from somebody in the building industry, someone that actually sent me one of the recordings on the real estate ninja I put from was it Lennar? And it was a recorded meeting where Lennar was essentially begging their builders to take a 10% write down or 10% discount for them.

And they promised they wouldn’t keep the money. They would pass it on to consumers because they can’t sell homes. It’s a big deal. And how this warning comes across to stock investors you have to remember if you’re buying Apple stock, these consumers that aren’t showing up at Lowe’s are also not showing up as much for Black Friday ticket items at Apple Stores. They’re not buying like at Best Buy.

Best Buy just put out really bad earnings, and there’s a reason for that. I’ll do that story a little bit later, but check this out. He says here, this is where it’s please don’t sell my stock yet, he said, after they’re prioritizing on travel. And this is a greater than expected pullback. This is what the CEO says yet. He said its sales to home professionals, which are accounting for a growing share of its revenue, rose in the quarter.

Those pros drive about 25% of the business, he said. The company, which sells Christmas trees and decorations, will focus on offering value and saving customers time during the holiday season. There is a lag effect in real estate and in the housing market that happens at the very end of a peak where you have a blow off top in prices. You also have an increased construction activity, because just like it takes you a long time to figure out, you know what, I think this real estate investing thing’s, for me, I’m going to finally go do it.

It’s always about at the end of the curve. Very few people see these cycles and jump in at the lows. That’s what I teach you to do. That’s why I have these channels to show you what’s coming based on current events. And we could forecast these things. Can we forecast the day or the month? No, we can’t. Can we forecast the seasons and the years? Absolutely, we can.

And that’s why you’re seeing the median home price fall across the country right now. And it’s funny because we’re in that moment where it just began about, I don’t know, eight months ago, ten months ago, and people are in such denial. But I read a story from The New York Times about, oh, a couple of weeks ago on this channel. It was from 2006, and it was the shocking news that New York real estate had just fallen 1.

1%. And that hadn’t happened in 20 years. Well, that was May of 2006, and you all know how it turned out. How many of you lost a home or your parents lost homes or you knew someone that lost a home during the great financial crisis? Well, guess what? We’ve already got banks crashing. We’ve got the Federal Reserve repo window, open flooding, liquidity in over 700 banks that are failing right now.

And the FDIC came out six months ago and says, we’re insolvent. We need the banks to pay higher insurance rates. If you don’t think this is a crash, well, I gotta be honest with you. I got some amazing waterfront property in Arizona I want to sell you. It’s awesome. All right, with that being said, the Economic Ninja Black Friday sale is down below for that real estate crash course if you want it.

If not, no worries. We’re all going to still crush it. If you’re ready for this, you are going to absolutely crush it. And how do you get ready? Simple. Get out of debt, get less debt, keep a credit score going, have some cash on the side and get a plan. And then go and dominate this real estate market. I want to see you take the wealth back from these big hedge funds.

The economic Ninja is out. .