Walmart (NASDAQ:WMT) Shares Down 1.8% – Here’s Why

Walmart Inc. (NASDAQ:WMT)’s stock price dropped 1.8% on Tuesday . The stock traded as low as $126.39 and last traded at $126.70. Approximately 19,767,115 shares changed hands during trading, a decline of 52% from the average daily volume of 41,063,230 shares. The stock had previously closed at $129.02.

Walmart News Summary

Here are the key news stories impacting Walmart this week:

• Positive Sentiment: Mizuho raised its WMT price target to $137 and moved to an “outperform” rating, which supports near?term analyst sentiment and could attract buy interest. Mizuho price target raise
• Positive Sentiment: New “next?gen” Jacksonville Supercenter highlights Walmart’s omnichannel push (digital integration, faster fulfillment, store layout improvements) that underpins long?term sales and margin upside. Next?gen stores
• Positive Sentiment: Analysis suggests Walmart could leverage big?tech AI investments (partnerships/capex sharing) to accelerate digital/operational transformation without bearing full cost, a potential margin tailwind. AI spending analysis
• Neutral Sentiment: Multiple pieces (valuation checks, buy?lists) note WMT’s recent gains and strong positioning among blue?chips — supportive background but not an immediate catalyst. Valuation and blue?chip mentions
• Negative Sentiment: Estee Lauder filed suit alleging Walmart’s marketplace facilitated sales of counterfeit luxury beauty products — a reputational and legal risk that could lead to liability, tighter marketplace scrutiny, or higher compliance costs. Estee Lauder lawsuit
• Negative Sentiment: December retail sales came in flat (vs. expected +0.4%), signaling softer consumer demand — a macro headwind for Walmart’s comparable?sales momentum and near?term revenue growth. Retail sales data
• Negative Sentiment: Kroger hired former Walmart U.S. CEO Greg Foran as its new CEO — a potential competitive threat as Kroger may accelerate store execution and grocery competition, which can pressure Walmart’s market share in key categories. Kroger hires ex?WMT exec

Wall Street Analyst Weigh In

WMT has been the topic of several analyst reports. Citigroup reissued a “buy” rating and issued a $147.00 price target (up previously from $120.00) on shares of Walmart in a report on Thursday, February 5th. CICC Research initiated coverage on shares of Walmart in a research report on Friday, December 26th. They set an “outperform” rating and a $125.00 target price on the stock. Oppenheimer restated an “outperform” rating and set a $140.00 price target (up previously from $125.00) on shares of Walmart in a research note on Monday. TD Cowen reaffirmed a “buy” rating on shares of Walmart in a report on Wednesday, January 14th. Finally, Piper Sandler reiterated an “overweight” rating and issued a $130.00 price objective (up from $123.00) on shares of Walmart in a research note on Tuesday, February 3rd. Thirty-two analysts have rated the stock with a Buy rating and two have issued a Hold rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus target price of $126.26.

Walmart Price Performance

The company has a quick ratio of 0.24, a current ratio of 0.80 and a debt-to-equity ratio of 0.39. The stock’s 50-day moving average price is $116.79 and its 200-day moving average price is $107.46. The company has a market capitalization of $1.01 trillion, a price-to-earnings ratio of 44.32, a price-to-earnings-growth ratio of 5.01 and a beta of 0.65.

Walmart (NASDAQ:WMT) last released its earnings results on Thursday, November 20th. The retailer reported $0.62 earnings per share for the quarter, topping analysts’ consensus estimates of $0.60 by $0.02. Walmart had a return on equity of 21.31% and a net margin of 3.26%.The company had revenue of $179.50 billion during the quarter, compared to the consensus estimate of $175.15 billion. During the same quarter in the previous year, the company posted $0.58 earnings per share. The firm’s quarterly revenue was up 5.8% on a year-over-year basis. Walmart has set its FY 2026 guidance at 2.580-2.630 EPS. Equities research analysts anticipate that Walmart Inc. will post 2.55 earnings per share for the current year.

Insider Activity at Walmart

In other news, EVP John R. Furner sold 13,125 shares of the stock in a transaction on Thursday, January 15th. The stock was sold at an average price of $119.99, for a total value of $1,574,868.75. Following the transaction, the executive vice president owned 727,155 shares of the company’s stock, valued at $87,251,328.45. This represents a 1.77% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CEO C Douglas Mcmillon sold 19,416 shares of Walmart stock in a transaction on Thursday, January 22nd. The stock was sold at an average price of $119.17, for a total value of $2,313,804.72. Following the sale, the chief executive officer directly owned 4,274,856 shares of the company’s stock, valued at approximately $509,434,589.52. This trade represents a 0.45% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders have sold 229,196 shares of company stock worth $26,957,858. 0.10% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of the company. Brighton Jones LLC lifted its holdings in shares of Walmart by 28.8% during the 4th quarter. Brighton Jones LLC now owns 98,150 shares of the retailer’s stock valued at $8,868,000 after purchasing an additional 21,939 shares in the last quarter. Revolve Wealth Partners LLC raised its holdings in Walmart by 5.8% during the 4th quarter. Revolve Wealth Partners LLC now owns 8,849 shares of the retailer’s stock worth $800,000 after buying an additional 485 shares during the period. Peterson Wealth Management lifted its stake in Walmart by 3.5% in the first quarter. Peterson Wealth Management now owns 50,307 shares of the retailer’s stock valued at $4,416,000 after buying an additional 1,715 shares in the last quarter. Sivia Capital Partners LLC boosted its holdings in shares of Walmart by 0.9% in the second quarter. Sivia Capital Partners LLC now owns 13,008 shares of the retailer’s stock valued at $1,272,000 after buying an additional 116 shares during the period. Finally, waypoint wealth counsel increased its position in shares of Walmart by 16.7% during the second quarter. waypoint wealth counsel now owns 6,489 shares of the retailer’s stock worth $634,000 after acquiring an additional 930 shares in the last quarter. Institutional investors and hedge funds own 26.76% of the company’s stock.

Walmart Company Profile

Walmart is a multinational retail corporation that operates a broad portfolio of store formats and digital services. Its core business includes large-format supercenters, discount department stores, neighborhood grocery stores and a membership warehouse chain, Sam’s Club. The company’s merchandising mix covers groceries, household goods, apparel, electronics and pharmacy services, supplemented by private-label products and category-specific offerings. Walmart pairs its physical store network with online platforms and mobile applications to provide omnichannel shopping, fulfillment and delivery options for consumers and businesses.

The company was founded by Sam Walton, who opened the first store in Rogers, Arkansas in 1962; it is headquartered in Bentonville, Arkansas.