Walmart Inc. (NASDAQ:WMT) Receives Average Rating of "Moderate Buy" from Brokerages

Key Points

• Analysts remain broadly positive on Walmart: 32 of 39 analysts rate the stock a buy and three rate it a strong buy, resulting in a “Moderate Buy” consensus and an average 12-month price target of $131.88.
• Recent financial results exceeded expectations: Walmart reported quarterly EPS of $0.81 versus the $0.74 consensus, while revenue rose 5.9% year over year to $187.94 billion. However, higher capital spending and operating costs may limit near-term profit growth.
• Growth initiatives support the outlook, but valuation is demanding: Walmart’s high-margin advertising business, delivery expansion and broader Walmart+ benefits could strengthen customer engagement and profitability, while the stock’s elevated valuation leaves limited room for disappointment.

Walmart Inc. (NASDAQ:WMT - Get Free Report) has been assigned a consensus rating of "Moderate Buy" from the thirty-nine analysts that are presently covering the stock, Marketbeat Ratings reports. Four equities research analysts have rated the stock with a hold rating, thirty-two have given a buy rating and three have issued a strong buy rating on the company. The average 12-month target price among analysts that have covered the stock in the last year is $131.8824.

WMT has been the subject of several research analyst reports. Raymond James Financial restated an "outperform" rating and set a $130.00 price target on shares of Walmart in a research report on Friday, August 21st. Deutsche Bank Aktiengesellschaft set a $113.00 price objective on Walmart in a report on Friday, August 21st. Guggenheim set a $130.00 target price on Walmart and gave the company a "buy" rating in a report on Friday, August 21st. Mizuho set a $130.00 target price on Walmart in a research report on Monday, July 27th. Finally, Evercore set a $125.00 price target on Walmart in a research note on Friday, August 21st.

Key Stories Impacting Walmart

Here are the key news stories impacting Walmart this week:

• Positive Sentiment: High-margin advertising business supports profitability. Goldman Sachs highlighted Walmart’s advertising operations as an increasingly important, high-margin contributor, potentially improving the company’s earnings mix as the business scales. Walmart's ad business stands out as high margin contributor—Goldman Sachs
• Positive Sentiment: Delivery expansion could increase customer engagement and market share. Walmart is partnering with Papa John’s to offer restaurant delivery through its app and website, with plans to expand from select markets to thousands of locations. The initiative adds new food occasions and may strengthen Walmart’s ecosystem and digital sales. Walmart Delivery Push Gains Momentum with Papa John's Partnership
• Positive Sentiment: Walmart+ is becoming more valuable to members. A new Citgo partnership expands the Walmart+ fuel-savings benefit to more than 4,000 additional stations, offering members discounts during a period of elevated gasoline prices. The move could support membership retention and attract cost-conscious consumers. Walmart+ Expands Gas Savings Program as Fuel Prices Surge
• Neutral Sentiment: Recent earnings trends remain supportive, but investment is rising. Walmart’s earnings beat estimates, with revenue growth and digital gains supporting its outlook. However, heavier capital spending and higher operating costs could limit near-term profit expansion. Walmart Q2 Earnings Beat Estimates but Can Higher Costs Limit Upside?
• Negative Sentiment: Valuation leaves limited room for disappointment. Analysts noted that Walmart’s strong digital and earnings growth is already reflected in a rich forward valuation. Higher costs and increased spending could make the stock’s entry point less forgiving. Should Investors Buy Walmart Stock as Growth Meets a Rich Valuation?

Insider Buying and Selling at Walmart

In other news, EVP Christopher Nicholas sold 2,900 shares of the company's stock in a transaction on Thursday, August 20th. The shares were sold at an average price of $106.34, for a total transaction of $308,386.00. Following the completion of the sale, the executive vice president owned 569,153 shares of the company's stock, valued at $60,523,730.02. This represents a 0.51% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Daniel Bartlett sold 3,950 shares of the firm's stock in a transaction dated Tuesday, September 1st. The stock was sold at an average price of $105.14, for a total transaction of $415,303.00. Following the completion of the transaction, the executive vice president directly owned 622,349 shares in the company, valued at approximately $65,433,773.86. This represents a 0.63% decrease in their ownership of the stock. 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 90 days, insiders have sold 67,879 shares of company stock worth $7,235,277. Corporate insiders own 0.09% of the company's stock.

Institutional Investors Weigh In On Walmart

A number of large investors have recently made changes to their positions in the stock. Merkkuri Wealth Advisors LLC acquired a new position in shares of Walmart during the 1st quarter valued at $29,000. Entrust Financial LLC acquired a new stake in shares of Walmart in the fourth quarter valued at $27,000. Montgomery Financial Services LLC bought a new position in Walmart during the second quarter valued at about $32,000. Sankala Group LLC bought a new position in Walmart during the fourth quarter valued at about $33,000. Finally, Turim 21 Investimentos Ltda. acquired a new position in Walmart during the first quarter worth about $37,000. 26.76% of the stock is currently owned by hedge funds and other institutional investors.

Walmart Price Performance

Shares of NASDAQ WMT opened at $109.08 on Tuesday. The firm has a market cap of $865.41 billion, a PE ratio of 39.38, a PEG ratio of 4.09 and a beta of 0.59. The firm has a fifty day moving average of $110.21 and a 200 day moving average of $118.71. The company has a debt-to-equity ratio of 0.41, a quick ratio of 0.23 and a current ratio of 0.77. Walmart has a one year low of $98.88 and a one year high of $135.15.

Walmart (NASDAQ:WMT - Get Free Report) last posted its quarterly earnings data on Thursday, August 20th. The retailer reported $0.81 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.74 by $0.07. Walmart had a net margin of 3.00% and a return on equity of 21.83%. The business had revenue of $187.94 billion for the quarter, compared to the consensus estimate of $186.64 billion. During the same period last year, the firm posted $0.68 earnings per share. The company's revenue was up 5.9% compared to the same quarter last year. Walmart has set its Q3 2027 guidance at 0.620-0.640 EPS and its FY 2027 guidance at 2.800-2.870 EPS. As a group, research analysts predict that Walmart will post 2.87 EPS for the current fiscal year.

Walmart Company Profile

Walmart Inc is a multinational retail and technology company that operates supercenters, discount stores, neighborhood markets, e-commerce platforms and membership warehouse clubs. Its merchandise includes groceries, apparel, electronics, home goods, health and beauty products, general merchandise and other consumer products.

Founded by Sam Walton in 1962 and incorporated in 1969, Walmart is headquartered in Bentonville, Arkansas. The company serves customers through operations in the United States and international markets, including Mexico, Canada, China, India and several countries in Central America and Africa.

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