Lowe’s stock (ticker: LOW) got a boost Wednesday morning from better-than-expected fourth-quarter earnings—welcome news after a more downbeat report from Home Depot (HD).

The back story. For years, Lowe’s lagged behind its larger rival, Home Depot, for many reasons, but that started to change last year amid big moves at the company. Lowe’s appointed a new CEO, and he was quick to make changes to the executive team, as well as shutter underperforming stores. Those decisions led some to believe Lowe’s could soon close long-persisting...