TD Cowen Raises Walmart (WMT) Price Target to $145 from $136

We recently published an article titled 12 Best Retail Stocks to Buy According to Analysts.

On February 20, Walmart Inc. (NASDAQ:WMT) saw TD Cowen raise its price target to $145 from $136 while reiterating a Buy rating. The firm emphasized Walmart’s positioning as a leader in AI-enabled retail, noting that the evolution toward conversational commerce- where customers articulate intentions and goals rather than relying on keyword searches- could structurally reshape shopping behavior and reinforce Walmart’s competitive advantages at scale.

The prior day, Walmart Inc. (NASDAQ:WMT) provided full-year fiscal 2027 guidance calling for constant-currency sales growth of 3.5%–4.5%, operating income growth of 6%–8%, and earnings per share of $2.75–$2.85. Management indicated that e-commerce will remain the principal growth engine and that margins are expected to expand due to a more favorable business mix, automation-driven productivity gains, and easing merchandise headwinds, while reiterating an intent to outperform these initial conservative assumptions. For the first quarter, Walmart expects constant-currency sales growth of 3.5%–4.5%, operating income growth of 4%–6%, and EPS of $0.63–$0.65. Management also noted that if prevailing foreign exchange rates persist, first-quarter reported sales would benefit by approximately 150 basis points and operating income by roughly 200 basis points, with full-year FX tailwinds of approximately 70 basis points to sales and 120 basis points to operating income. Fiscal 2026 operating cash flow reached $42 billion, while free cash flow grew 18% year over year.

Planned fiscal 2027 capital expenditures are approximately 3.5% of sales, reflecting peak investment in automation and store remodels, and the company authorized a new $30 billion share repurchase program. Global e-commerce increased approximately 24% for the quarter and nearly 25% for the year, surpassing $150 billion in annual sales for the first time, with fourth-quarter e-commerce representing approximately 23% of total sales, an increase of 550 basis points over two years. Walmart Inc. (NASDAQ:WMT)’s U.S. e-commerce grew 27% in the fourth quarter. The combination of accelerating digital penetration, expanding margins, strong cash generation, and disciplined capital return supports a compelling long-term investment thesis centered on omnichannel scale and technology-driven productivity.

Walmart Inc. (NASDAQ:WMT), founded in 1962, is an American multinational omnichannel retailer operating more than 10,750 stores and e-commerce platforms across 19 countries under multiple brand names. Its scale, supply chain sophistication, and increasing integration of data and automation technologies position it to capitalize on structural shifts toward digital retail and AI-enhanced commerce.

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