Does Walmart Own Lowe‘s? A Deep Dive into Two Retail Giants
With over 10,500 stores worldwide, Walmart is the largest company in the world by revenue. The retail giant is known for its massive supercenters stocked with groceries, household items, and an expanding selection of home improvement products.
But Lowe‘s, with its focus on tools, lumber, and remodeling services, is one of the leading home improvement retailers in the United States. This begs the question – does Walmart own Lowe‘s?
No, Walmart Does Not Own Lowe‘s
Walmart has no ownership stake in Lowe‘s. While they compete in some areas, Lowe‘s operates as an independent public company, based in North Carolina.
As of January 2023, Lowe‘s Companies Inc. is publicly traded on the NYSE and has a market capitalization of $122 billion. The top shareholders are:
- Vanguard Group (8.9%)
- BlackRock Inc. (7.7%)
- State Street Corp (4.8%)
Walmart owns no shares of Lowe‘s. It‘s largest shareholders remain the Walton family (48%), with institutional investors like Vanguard and BlackRock making up most of the remainder.
Home Improvement Showdown: Walmart vs. Lowe‘s
The home improvement retail market is dominated by two major players – Home Depot and Lowe‘s. Combined, they account for 25% of total hardware and building material sales in the US.
Walmart is trying to grab a piece of this $900 billion market. It has rapidly expanded its home goods offerings in recent years. But Lowe‘s still maintains key advantages, including:
Broader product selection: Lowe‘s carries over 40,000 products for home improvement projects, from appliances to lighting to lumber. Walmart stocks just 10,000 SKUs in home categories.
Pro customers: While both cater to DIY customers, Lowe‘s generates 23% of sales from professional contractors, vs. an estimated 5% for Walmart.
Project expertise: Lowe‘s employees have specialized knowledge to provide advice on complex renovation projects. Walmart has limited in-store assistance.
Installation services: Lowe‘s offers installation services for flooring, cabinets, fencing and more. Walmart does not provide installation services.
Walmart vs. Lowe‘s
| Metric | Walmart | Lowe‘s |
|---|---|---|
| 2022 Revenue | $611 billion | $97 billion |
| Total stores | 10,500 | 1,971 |
| Home improvement product selection | 10,000 SKUs | Over 40,000 SKUs |
| Share of pro customers | ~5% | 23% |
| In-store project advice | Limited | Specialized |
| Installation services | No | Yes |
*Data from Walmart, Lowe‘s, and IBISWorld market research
This table summarizes the key differences between the two retailers. While Walmart‘s massive size allows impressive buying power, Lowe‘s is a specialty retailer laser-focused on home improvement, with the product depth, services and expertise that Walmart currently lacks.
What Home Brands Does Walmart Own?
Walmart may not own Lowe‘s, but it does have ownership stakes in growing home decor and furnishings brands:
Hayneedle – Online retailer for outdoor furniture, décor and more. Acquired by Walmart in 2017.
Moosejaw – Sells outdoor apparel and camping gear. Acquired by Walmart in 2017.
Bonobos – Known for men‘s apparel but also offers home furnishings like rugs, pillows and blankets. Acquired by Walmart in 2017.
By acquiring these digital native vertical brands, Walmart aims to complement its in-store home assortment and better compete with pureplay home retailers.
Walmart‘s International Retail Dominance
While Walmart does not own Lowe‘s, it does hold a controlling stake in major international retailers:
UK: Asda – Walmart owns a 65% stake in British supermarket chain Asda.
Japan: Seiyu – Walmart owns a 65% stake in Japanese grocery chain Seiyu.
India: Flipkart – Walmart owns a 77% stake in leading Indian ecommerce marketplace Flipkart.
Africa: Massmart – Walmart has a 51% stake in Massmart, a retailer with 395 stores across 13 African countries.
Conclusion
Walmart sticks to a strategy of owning large international retailers to fuel its ecommerce ambitions. But it does not have ownership in any pureplay US home improvement chains like Lowe‘s or Home Depot. While Walmart sells home improvement merchandise, Lowe‘s, as a specialty retailer, maintains key advantages in selection, service and expertise.
So in summary – no, Walmart does not own Lowe‘s. The two brands compete in some areas but operate as independent public companies.
