Walmart

Walmart indicates that it will accelerate price rollbacks as cost inflation eases, which is a clear signal that consumer price inflation is moderating, says David Silverman, senior director of Fitch Ratings. The retail giant’s robust 2Q results amid a choppy spending climate suggests some stabilization for its customer base, although that growth likely came more from share gains, Silverman says. Walmart’s price competitiveness has allowed it to pick up market share from competitors, though its omnichannel and supply chain enhancements are helping too, Silverman says.

Walmart (WMT) is expected to report in-line Q2 earnings per share and US comparable sales despite a weak consumer/retail backdrop and moderating expectations for the company, Morgan Stanley said in an earnings preview Thursday. The firm said it does not see any risk to Walmart’s valuation “even with an in-line quarter” as long as it keeps a consistent market share compared with peers and relative to Amazon.com (AMZN), and growth of its US earnings before interest and taxes exceeds sales growth driven by “fast-growing higher margin alternative revenue.” Alternative profits, including digital media, 3P marketplace, and membership growth alongside supply chain savings, are expected to drive US margin expansion in Q2, according to the note. International growth will fall behind Q1 due to fewer holiday contributions, the firm said. “Given slow July retail data, the risks of a consumer slowdown rising and an upcoming election in [H2], we think retaining

Shares of Walmart Inc (NYSE:WMT) reported better-than-expected results for its first quarter. The results came amid an exciting earnings season. Here are some key analyst takeaways. Bank of America analyst Robert Ohmes maintained a Buy rating, while raising the price target from $67 to $75. KeyBanc Capital Markets analyst Bradley Thomas reiterated an Overweight rating, while lifting the price target from $63 to $75. BMO Capital Markets analyst Kelly Bania reaffirmed an Outperform rating, while raising the price target from $65 to $75. Telsey analyst Joseph Feldman reiterated an Outperform rating, while raising the price target from $68 to $70. Roth Capital Partners analyst Bill Kirk maintained a Buy rating, while lifting the price target from $69 to $71. JPMorgan analyst Christopher Horvers reaffirmed a Neutral rating on the stock. Check out other analyst stock ratings. BofA Securities: Walmart has momentum “across all income cohorts.” “Delivery is now larger than pickup for

Walmart (WMT) remains a healthy, effectively managed company with “solid growth” and “strong flow through,” RBC Capital Markets said in a note, raising its Q2 earnings estimate to $0.64 per share from $0.62 and increasing its price target $70 from $62. “A growing profit contribution from advertising and membership income supports a re-rating,” RBC said, maintaining its outperform rating. Walmart’s Q1 results had “few holes to poke,” RBC said, noting that management had shared that sales were consistent when normalized for unusual calendar and weather events. Also important is that customers’ grocery purchases increasingly include lower-priced proprietary Walmart brands, giving the retailer “more leverage in supplier negotiations,” the analysts said.

Walmart is one of the most mentioned companies in the U.S. across all news items in the past 12 hours, according to Factiva data. The retailer’s net income hit $5.1 billion in the fiscal first quarter, or 63 cents a share, versus a FactSet consensus estimate of 52 cents a share. Revenue grew 6% to $161.51 billion, compared with analyst expectations of $159.6 billion. Walmart expects second-quarter adjusted EPS of 62 cents to 65 cents, compared with the FactSet consensus of 64 cents. It expects full-year adjusted EPS to be at the high-end or slightly above original guidance of $2.23 to $2.37, with net sales at the high end or slightly above the previously expected range of a 3% to 4% increase. Dow Jones & Co. owns Factiva.

We lift our 12-month target to $72 from $68, 27.2x our FY 26 (Jan.) EPS of $2.65 (up from $2.61; FY 25’s up to $2.46 from $2.42) vs. the 24x historical average. FQ1 (Apr-Q) adj-EPS of $0.60 (+22% Y/Y) beat the $0.52 consensus, with Walmart U.S. comp sales up 3.8% (+3.8% transactions; 0% average ticket) vs. 3.5% consensus. Adj-operating income grew 14% Y/Y, with margin +30 bps Y/Y to 4.4%. While WMT raised its FY 25 guidance, we think it is still conservative given the strength and momentum in all three segments (i.e., Walmart U.S.; International; Sam’s Club). We keep a Buy, as we see market share gains continuing, not just in grocery, but also in general merchandise due to WMT’s rapidly growing online marketplace. We believe WMT has plenty of long-term growth in its higher-margin services streams (e.g., advertising, fulfillment services, data analytics, subscriptions), which, in addition to changes

Consumers are responding to Walmart’s lower prices with strong sell-throughs, CEO Doug McMillon says on a call with analysts following the retail giant’s 1Q results. The company’s making progress lowering prices, which McMillon says are important to its customer and membership base. Walmart recently announced the biggest release of a private food brand in 20 years, with 70% of the products priced under $5. “Our combination of everyday low prices plus a large number of rollbacks is resonating.” Shares rise 5.9% to $63.33.

Walmart is seeing gains from its advertising business and expanding its data analysts and insights product, Walmart Luminate, into Mexico and Canada. The retail giant’s advertising business was up 24% in the latest quarter, with U.S. ad sales reflecting more than 50% growth from marketplace sellers while overall active advertiser counts increasing nearly 19%. Sam’s ad business now has 30% more active advertisers from last year. Advertising, membership, marketplace and fulfillment and data analytics are higher-margin growth drivers, and they are leading to corresponding improvements in Walmart’s business mix, Finance Chief John D. Rainey says on a call. Shares rise 6% to $63.40.

The following is a summary of the Walmart Inc. (WMT) Q1 2025 Earnings Call Transcript: Financial Performance: Walmart Inc. had a strong Q1 with a 5.7% increase in sales growth and a 12.9% increase in adjusted operating profit in constant currency. All operating segments saw increased growth driven primarily by growth in units sold and transaction counts. Inventory management improved, resulting in a decrease of 2.7% globally. Operational income for the quarter improved by about $900 million. Gross margins are improving due to reduced markdowns and higher contributions from newer businesses. The international operations performed well with a top-line growth of 10.7% and operating income growth of 27%. Business Progress: The company has made notable improvements in customer experience. Store remodels, improvements in curbside pick-up, and delivery services have been carried out. Walmart has launched a new private food brand, Better Goods, in the U.S. The number of marketplace sellers

Walmart’s share gains continued to be mainly driven by upper-income households in the 1Q, the retail giant says. U.S. comparable stores sales excluding fuel rose 3.8% in the period. Still, its average ticket remained flat. Overall in the quarter, Walmart saw strength across all operating segments, with global ecommerce sales growing 21% as a result of its in store-fulfilled pickup and delivery. Shares rise 5.5% to $63.14 in premarket trading.

Walmart (WMT) on Thursday recorded better-than-expected fiscal first-quarter results buoyed by gains across all operating segments, prompting the retail giant to raise its full-year guidance. The company now anticipates to be at the high end or “slightly” above its original fiscal 2025 outlook for per-share adjusted earnings and sales growth. In February, Walmart issued a forecast for adjusted EPS to be between $2.23 and $2.37, with sales to increase by 3% to 4% at constant currency. The consensus on Capital IQ is for normalized EPS of $2.37 and revenue of $670.35 billion for the fiscal year. “We’ll revisit our full-year guidance as we exit (the second quarter),” Chief Financial Officer Rainey said on an earnings call, according to a Capital IQ transcript. “This is more aligned with our historic cadence of updates and consistent with the philosophy we have as a management team to recognize early momentum, but to also

Walmart’s (WMT) fiscal Q1 adjusted earnings and US comparable sales are expected to fall short of market estimates while traffic trends are seen remaining strong, BofA Securities said Friday. The retail giant is scheduled to report fiscal Q1 results Thursday. BofA expects adjusted earnings of $0.51 per share and US same-store sales growth of 3.5%. The market consensus is for $0.52 and 3.7% growth, respectively, according to the firm. “Our F1Q comp forecast implies a slight deceleration vs. F4Q’s +4.0% given moderating grocery inflation and likely continued softness in general merchandise,” BofA analyst Robert Ohmes said. “However, we think strong observed transactions for WMT in F1Q according to Bloomberg Second Measure card data implies continued strong underlying momentum for WMT.” BofA maintained its buy rating on the Walmart stock, with a $67 price objective.