Meiji Yasuda Asset Management Co Ltd. Sells 39,758 Shares of Walmart Inc. $WMT

Key Points

• Meiji Yasuda Asset Management cut its Walmart stake by 18.3% in the fourth quarter, selling 39,758 shares and leaving it with 177,760 shares valued at about $19.8 million.
• Wall Street remains broadly bullish on Walmart, with analysts assigning a consensus rating of “Buy” and an average price target of $138.91. Several firms recently raised their targets, including Bernstein, BTIG, Guggenheim, DA Davidson, and Morgan Stanley.
• Walmart reported solid Q1 results, with EPS of $0.66 and revenue of $177.75 billion, both meeting or beating expectations. However, the stock fell after the company issued weaker-than-expected Q2 guidance and warned that high gas prices could pressure budgets and margins.

Meiji Yasuda Asset Management Co Ltd. lessened its stake in Walmart Inc. (NASDAQ:WMT - Free Report) by 18.3% in the fourth quarter, according to its most recent disclosure with the Securities and Exchange Commission. The fund owned 177,760 shares of the retailer's stock after selling 39,758 shares during the quarter. Walmart comprises about 1.0% of Meiji Yasuda Asset Management Co Ltd.'s investment portfolio, making the stock its 17th largest holding. Meiji Yasuda Asset Management Co Ltd.'s holdings in Walmart were worth $19,804,000 as of its most recent filing with the Securities and Exchange Commission.

Other institutional investors and hedge funds have also added to or reduced their stakes in the company. Collier Financial bought a new stake in Walmart in the third quarter valued at approximately $25,000. Entrust Financial LLC bought a new stake in Walmart in the fourth quarter valued at approximately $27,000. Your Advocates Ltd. LLP bought a new stake in Walmart in the third quarter valued at approximately $28,000. Redmont Wealth Advisors LLC bought a new stake in Walmart in the third quarter valued at approximately $30,000. Finally, Beacon Financial Strategies CORP bought a new stake in Walmart in the fourth quarter valued at approximately $30,000. Institutional investors own 26.76% of the company's stock.

Wall Street Analyst Weigh In

Several equities research analysts have commented on WMT shares. Sanford C. Bernstein reaffirmed an "outperform" rating and issued a $145.00 target price on shares of Walmart in a research note on Tuesday, May 12th. BTIG Research upped their target price on shares of Walmart from $140.00 to $145.00 and gave the company a "buy" rating in a research note on Wednesday, May 6th. Guggenheim increased their price target on Walmart from $120.00 to $137.00 and gave the stock a "buy" rating in a report on Monday, April 13th. DA Davidson set a $150.00 price target on Walmart and gave the stock a "buy" rating in a research report on Friday, February 20th. Finally, Morgan Stanley raised their price target on Walmart from $135.00 to $140.00 and gave the stock an "overweight" rating in a research report on Wednesday, April 22nd. Two investment analysts have rated the stock with a Strong Buy rating, thirty have assigned a Buy rating and two have issued a Hold rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of "Buy" and a consensus target price of $138.91.

Insider Buying and Selling at Walmart

In related news, EVP John D. Rainey sold 20,000 shares of the stock in a transaction dated Monday, March 2nd. The stock was sold at an average price of $127.79, for a total transaction of $2,555,800.00. Following the completion of the transaction, the executive vice president directly owned 486,764 shares in the company, valued at approximately $62,203,571.56. This trade represents a 3.95% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director C Douglas Mcmillon sold 19,416 shares of the stock in a transaction dated Thursday, April 23rd. The stock was sold at an average price of $132.21, for a total value of $2,566,989.36. Following the transaction, the director owned 4,193,995 shares of the company's stock, valued at approximately $554,488,078.95. The trade was a 0.46% 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. Insiders sold 109,983 shares of company stock valued at $13,908,797 in the last 90 days. 0.10% of the stock is currently owned by corporate insiders.

Key Stories Impacting Walmart

Here are the key news stories impacting Walmart this week:

• Positive Sentiment: Walmart reported Q1 EPS of $0.66, ahead of estimates, on revenue of $177.75 billion, also above expectations. The company also highlighted strong underlying growth drivers, including 26% global e-commerce growth and 37% growth in advertising revenue. Article Title
• Positive Sentiment: Management reaffirmed its long-term strategy and kept annual targets in place, which supports the view that Walmart’s core business remains resilient despite a cautious consumer backdrop. Article Title
• Neutral Sentiment: Analysts noted that Walmart continues to benefit from value-seeking shoppers, but the market is also watching whether the company can sustain growth if consumers become more stressed by inflation and higher fuel costs. Article Title
• Negative Sentiment: Walmart’s Q2 guidance came in below analyst forecasts, with EPS and revenue outlooks both disappointing investors. That weaker near-term guidance is the main reason the stock is falling today. Article Title
• Negative Sentiment: Management warned that high gas prices are squeezing household budgets and raising Walmart’s transportation and logistics costs, increasing the risk of margin pressure even as shoppers shift toward cheaper purchases. Article Title

Walmart Stock Down 7.3%

Shares of WMT stock opened at $121.34 on Friday. The firm has a fifty day moving average of $126.83 and a 200-day moving average of $120.03. The company has a quick ratio of 0.24, a current ratio of 0.79 and a debt-to-equity ratio of 0.38. Walmart Inc. has a 12-month low of $93.43 and a 12-month high of $135.15. The company has a market capitalization of $967.20 billion, a price-to-earnings ratio of 44.28, a P/E/G ratio of 4.84 and a beta of 0.65.

Walmart (NASDAQ:WMT - Get Free Report) last issued its quarterly earnings data 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 3.07% and a return on equity of 21.44%. The company had revenue of $177.75 billion during the quarter, compared to the consensus estimate of $174.84 billion. During the same quarter in the prior year, the firm earned $0.61 earnings per share. The firm's revenue 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. As a group, equities research analysts predict that Walmart Inc. will post 2.89 earnings per share for the current fiscal year.

Walmart Company 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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