Walmart (NASDAQ:WMT) Raised to “Hold” at Freedom Capital

Walmart (NASDAQ:WMT) was upgraded by Freedom Capital from a “strong sell” rating to a “hold” rating in a research report issued to clients and investors on Thursday,Zacks.com reports.

Several other research analysts also recently commented on WMT. Wolfe Research reaffirmed an “outperform” rating and issued a $137.00 target price (up from $135.00) on shares of Walmart in a research note on Monday, May 11th. Citigroup reaffirmed a “buy” rating and issued a $147.00 target price (up from $120.00) on shares of Walmart in a research note on Thursday, February 5th. Oppenheimer reissued an “outperform” rating and issued a $140.00 target price (up from $125.00) on shares of Walmart in a research note on Monday, February 9th. BMO Capital Markets reissued an “outperform” rating on shares of Walmart in a research note on Friday. Finally, Argus raised Walmart to a “strong-buy” rating in a research note on Wednesday, February 18th. Two investment analysts have rated the stock with a Strong Buy rating, thirty-one have issued a Buy rating and three have given a Hold rating to the stock. According to MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $138.71.

Walmart Stock Down 0.9%

Shares of NASDAQ:WMT opened at $120.27 on Thursday. The stock’s 50-day moving average price is $126.77 and its 200-day moving average price is $120.03. Walmart has a 12-month low of $93.43 and a 12-month high of $135.15. The stock has a market capitalization of $958.67 billion, a P/E ratio of 42.20, a price-to-earnings-growth ratio of 4.49 and a beta of 0.65. The company has a current ratio of 0.77, a quick ratio of 0.24 and a debt-to-equity ratio of 0.42.

Walmart (NASDAQ:WMT) last announced its quarterly earnings data on Thursday, May 21st. The retailer reported $0.66 earnings per share (EPS) for the quarter, meeting analysts’ consensus estimates of $0.66. Walmart had a return on equity of 21.25% and a net margin of 3.13%.The firm had revenue of $177.75 billion for the quarter, compared to analysts’ expectations of $174.84 billion. During the same period last year, the firm earned $0.61 earnings per share. The company’s revenue for the quarter was up 7.4% compared to the same quarter last year. Walmart has set its FY 2027 guidance at 2.750-2.850 EPS and its Q2 2027 guidance at 0.720-0.740 EPS. On average, equities analysts anticipate that Walmart will post 2.89 earnings per share for the current year.

Insiders Place Their Bets

In other Walmart news, EVP Christopher James Nicholas sold 2,900 shares of the stock in a transaction that occurred on Thursday, May 21st. The stock was sold at an average price of $123.92, for a total value of $359,368.00. Following the completion of the sale, the executive vice president owned 577,853 shares in the company, valued at approximately $71,607,543.76. This trade represents a 0.50% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO John R. Furner sold 13,125 shares of the business’s stock in a transaction dated Thursday, May 21st. The shares were sold at an average price of $124.08, for a total transaction of $1,628,550.00. Following the transaction, the chief executive officer owned 661,037 shares in the company, valued at $82,021,470.96. This represents a 1.95% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders have sold 126,008 shares of company stock worth $15,896,715. Insiders own 0.10% of the company’s stock.

Institutional Trading of Walmart

Large investors have recently bought and sold shares of the company. MFA Wealth Services raised its stake in Walmart by 0.7% in the first quarter. MFA Wealth Services now owns 10,909 shares of the retailer’s stock valued at $1,356,000 after buying an additional 80 shares during the last quarter. Realta Investment Advisors raised its stake in Walmart by 2.0% in the first quarter. Realta Investment Advisors now owns 4,089 shares of the retailer’s stock valued at $508,000 after buying an additional 81 shares during the last quarter. Compton Financial Group LLC raised its stake in Walmart by 4.1% in the first quarter. Compton Financial Group LLC now owns 2,081 shares of the retailer’s stock valued at $259,000 after buying an additional 82 shares during the last quarter. Renaissance Group LLC raised its stake in Walmart by 0.9% in the fourth quarter. Renaissance Group LLC now owns 9,636 shares of the retailer’s stock valued at $1,074,000 after buying an additional 83 shares during the last quarter. Finally, Calton & Associates Inc. raised its stake in Walmart by 0.3% in the fourth quarter. Calton & Associates Inc. now owns 27,220 shares of the retailer’s stock valued at $3,033,000 after buying an additional 84 shares during the last quarter. 26.76% of the stock is owned by institutional investors.

Trending Headlines about Walmart

Here are the key news stories impacting Walmart this week:

• Positive Sentiment: Walmart posted solid first-quarter results, with revenue of $177.8 billion and EPS of $0.66, while e-commerce sales rose 26% and advertising revenue jumped 37%, highlighting continued strength in digital and membership-driven businesses.
• Positive Sentiment: Several analysts remained constructive after earnings: Bank of America reiterated a Buy rating and said Walmart is well positioned to gain share in a price-sensitive environment, while BTIG and BNP Paribas Exane also kept positive ratings despite modestly trimming price targets.
• Neutral Sentiment: Walmart disclosed pre-arranged insider sales by CEO John Furner and EVP Christopher James Nicholas, but both transactions were made under 10b5-1 plans, which typically limits how much investors read into them.
• Neutral Sentiment: News reports also noted leadership changes, including the departure of Sam’s Club COO Tom Ward and U.S. stores EVP Cedric Clark, adding some uncertainty but not appearing to change the company’s near-term operating outlook.
• Negative Sentiment: Shares weakened after Walmart issued second-quarter EPS guidance below consensus and reaffirmed full-year targets that also came in below Wall Street expectations, prompting concerns that margin pressure could continue.
• Negative Sentiment: Management said elevated fuel prices are pressuring both consumers and Walmart’s own costs, reinforcing worries that spending could soften and profitability could stay under pressure in the coming quarters.

About Walmart

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.