Lowe's Cos. Inc. raised its full-year profit forecast on Wednesday, encouraged by higher prices and steady demand for home improvement products despite decades-high inflation and cooling home prices.

The company said it expected full-year earnings of $13.65 to $13.80 per share, compared with its prior estimate of $13.10 to $13.60.

Analysts on average forecast annual profit of $13.54 per share, Refinitiv IBES data showed.