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Lowe’s tops Home Depot with an $8.8 billion buyout deal and an earnings beat

1. Lowe's announced an $8.8 billion acquisition of Foundation Building Materials. 2. Lowe's fiscal Q2 results beat expectations; net income rose to $2.4 billion. 3. Adjusted EPS increased 5.6% to $4.33, above analyst estimates. 4. Shares rose 2.7% in premarket, approaching a seven-month high. 5. Lowe's raised its full-year EPS and sales guidance significantly.

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FAQ

Why Bullish?

The acquisition and strong earnings suggest future growth potential for Lowe’s, similar to past successful acquisitions that positively impacted stock prices.

How important is it?

The article discusses significant corporate movements and performance, enhancing Lowe's market position, thus likely impacting short to medium-term investor sentiment.

Why Long Term?

Acquisitions typically lead to sustained growth, affecting performance over several quarters or years, as seen with Lowe's previous integrations.

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