Martingale Asset Management L P Cuts Stake in Walmart Inc. $WMT

Key Points

• Martingale Asset Management reduced its Walmart stake by 5.1% in the fourth quarter, selling 18,493 shares and leaving it with 340,650 shares valued at about $37.95 million.
• Walmart reported better-than-expected revenue in its latest quarterly results, posting $177.75 billion versus estimates of $174.84 billion, while EPS of $0.66 matched expectations and sales rose 7.4% year over year.
• Wall Street remains broadly positive on the stock, with analysts assigning a Moderate Buy consensus and an average price target of $138.85; several firms recently reiterated buy ratings and raised targets.

Martingale Asset Management L P lowered its position in shares of Walmart Inc. (NASDAQ:WMT - Free Report) by 5.1% in the fourth quarter, according to the company in its most recent 13F filing with the SEC. The fund owned 340,650 shares of the retailer's stock after selling 18,493 shares during the quarter. Walmart accounts for 1.0% of Martingale Asset Management L P's investment portfolio, making the stock its 13th largest holding. Martingale Asset Management L P's holdings in Walmart were worth $37,952,000 at the end of the most recent reporting period.

A number of other large investors also recently bought and sold shares of WMT. Norges Bank purchased a new position in Walmart during the 4th quarter worth $6,458,529,000. AQR Capital Management LLC increased its holdings in shares of Walmart by 188.1% in the 3rd quarter. AQR Capital Management LLC now owns 11,663,172 shares of the retailer's stock valued at $1,199,907,000 after purchasing an additional 7,614,172 shares in the last quarter. Geode Capital Management LLC increased its holdings in shares of Walmart by 6.8% in the 4th quarter. Geode Capital Management LLC now owns 103,010,709 shares of the retailer's stock valued at $11,426,753,000 after purchasing an additional 6,517,394 shares in the last quarter. Capital International Investors purchased a new position in shares of Walmart in the 4th quarter valued at about $592,848,000. Finally, Vanguard Group Inc. increased its holdings in shares of Walmart by 1.0% in the 4th quarter. Vanguard Group Inc. now owns 439,957,146 shares of the retailer's stock valued at $49,015,626,000 after purchasing an additional 4,304,436 shares in the last quarter. Hedge funds and other institutional investors own 26.76% of the company's stock.

Walmart Price Performance

Walmart stock opened at $121.04 on Friday. Walmart Inc. has a 12-month low of $93.62 and a 12-month high of $135.15. The stock has a market capitalization of $963.25 billion, a P/E ratio of 42.47, a P/E/G ratio of 4.50 and a beta of 0.59. The firm's 50-day moving average is $125.28 and its two-hundred day moving average is $121.66. The company has a debt-to-equity ratio of 0.42, a current ratio of 0.77 and a quick ratio of 0.23.

Walmart (NASDAQ:WMT - Get Free Report) last released its quarterly earnings results on Thursday, May 21st. The retailer reported $0.66 earnings per share (EPS) for the quarter, hitting the consensus estimate of $0.66. Walmart had a net margin of 3.13% and a return on equity of 21.25%. The company had revenue of $177.75 billion for the quarter, compared to analysts' expectations of $174.84 billion. During the same period last year, the company earned $0.61 EPS. The firm'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. Equities analysts predict that Walmart Inc. will post 2.89 earnings per share for the current year.

Wall Street Analyst Weigh In

A number of brokerages have recently issued reports on WMT. BTIG Research reiterated a "buy" rating and issued a $145.00 price target on shares of Walmart in a report on Wednesday, June 3rd. Roth Mkm reiterated a "buy" rating and issued a $138.00 price target on shares of Walmart in a report on Friday, February 20th. Guggenheim increased their price target on shares of Walmart from $120.00 to $137.00 and gave the company a "buy" rating in a report on Monday, April 13th. UBS Group set a $141.00 price target on shares of Walmart and gave the company a "buy" rating in a report on Friday, May 22nd. Finally, Freedom Capital upgraded shares of Walmart from a "strong sell" rating to a "hold" rating in a report on Thursday, May 21st. One equities research analyst has rated the stock with a Strong Buy rating, thirty-one have assigned a Buy rating and four have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and a consensus price target of $138.85.

Insiders Place Their Bets

In related news, EVP Christopher James Nicholas sold 2,900 shares of the firm's stock in a transaction that occurred on Thursday, May 21st. The shares were sold at an average price of $123.92, for a total value of $359,368.00. Following the transaction, 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 ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director C Douglas Mcmillon sold 19,416 shares of the firm's stock in a transaction that occurred on Thursday, May 28th. The shares were sold at an average price of $118.63, for a total transaction of $2,303,320.08. Following the completion of the transaction, the director owned 4,174,579 shares in the company, valued at $495,230,306.77. The trade was a 0.46% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders sold 128,986 shares of company stock valued at $15,927,908. 0.09% of the stock is currently owned by corporate insiders.

Walmart 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.

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