Lowe's

Target earnings, Canada tariffs, American Airlines screens

CNBC’s Morning Squawk highlights market-moving items on Aug. 19, 2026: Moderna shares jumped as much as 100% after a personalized cancer vaccine developed with Merck showed positive late-stage results. Global bond yields have spiked, pressuring stocks and mortgage rates ahead of Fed minutes and the Jackson Hole conference. Retailers saw tariff refunds boost earnings: Target said refunds added $752 million to Q2 net earnings and raised its full-year outlook; Lowe’s credited an 11-cent EPS lift but gave a tepid outlook and missed revenue expectations. President Trump paused planned 50% tariffs on certain Canadian goods for three days pending final documents. American Airlines announced plans to add seatback screens to most narrow-body aircraft starting in 2028. Auto dealers are emphasizing parts and services as new-vehicle sales soften.

Lowe's trims outlook as DIY spending remains pressured

Lowe’s on Aug. 19, 2026 cut its full-year outlook, saying results are likely to come in at the lower end of prior guidance as discretionary DIY spending remains weak. The retailer now expects total sales of $92 billion (previous range $92–$94 billion), flat comparable sales and an operating margin of 11.2%. Lowe’s reported Q2 sales of nearly $26 billion, up 8.3% year-over-year, with comps up 0.2% driven by strength in Pro, home services and a roughly 16% increase in online sales. Management emphasized investments in the Pro business (including loyalty upgrades, digital tools and recent acquisitions) while noting smaller projects rose modestly and big-ticket project spending declined.

Walmart, Target Results Could Test Earnings Season

Major U.S. retailers including Walmart and Target are reporting earnings this week, posing a test for an otherwise strong Q2 season where 84% of S&P 500 companies topped expectations, per FactSet. Analysts and data providers such as LSEG warn that earnings strength is increasingly concentrated among a handful of large, high-margin retailers, while broader discretionary spending may be more cautious. Wall Street consensus expectations cited: Walmart EPS ~ $0.74 and revenue ~$186.62 billion; Target EPS ~$2.35 and revenue ~$26.15 billion with expected comparable sales growth of 2.4%. Analysts urge selectivity across the sector as traffic deceleration, promotional intensity, and consumer segmentation (a K-shaped recovery) present mixed signals for retailers and investors.