The latest trading session saw Walmart (WMT) ending at $99.33, denoting a +0.59% adjustment from its last day's close. The stock's change was more than the S&P 500's daily loss of 0.64%. On the other hand, the Dow registered a loss of 0.24%, and the technology-centric Nasdaq decreased by 0.74%.
Coming into today, shares of the world's largest retailer had gained 18.7% in the past month. In that same time, the Retail-Wholesale sector gained 0.16%, while the S&P 500 gained 0.38%.
The upcoming earnings release of Walmart will be of great interest to investors. The company's earnings report is expected on May 15, 2025. The company's upcoming EPS is projected at $0.58, signifying a 3.33% drop compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $165.87 billion, reflecting a 2.7% rise from the equivalent quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $2.60 per share and revenue of $703.73 billion, indicating changes of +3.59% and +3.34%, respectively, compared to the previous year.
Investors should also pay attention to any latest changes in analyst estimates for Walmart. Recent revisions tend to reflect the latest near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 1% lower. Currently, Walmart is carrying a Zacks Rank of #4 (Sell).
Digging into valuation, Walmart currently has a Forward P/E ratio of 37.97. This indicates a premium in contrast to its industry's Forward P/E of 14.8.
It's also important to note that WMT currently trades at a PEG ratio of 4.82. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The average PEG ratio for the Retail - Supermarkets industry stood at 1.88 at the close of the market yesterday.
The Retail - Supermarkets industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 94, putting it in the top 39% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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Walmart Inc. (WMT): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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