Narus Financial Partners LLC Cuts Holdings in Walmart Inc. $WMT

Key Points

• Narus Financial Partners cut its Walmart stake by 7.4% in the fourth quarter, though Walmart remains its largest holding at 42.4% of the portfolio, valued at about $154.1 million.
• Walmart reported strong quarterly results, with revenue of $177.75 billion and EPS of $0.66, matching consensus on earnings and topping revenue expectations; revenue rose 7.4% year over year.
• Analysts remain broadly bullish on Walmart, with a consensus rating of Moderate Buy and an average price target of $138.71, despite some recent insider selling and mixed guidance concerns.

Narus Financial Partners LLC lowered its position in shares of Walmart Inc. (NASDAQ:WMT - Free Report) by 7.4% during the fourth quarter, according to its most recent disclosure with the Securities and Exchange Commission. The fund owned 1,383,052 shares of the retailer's stock after selling 110,898 shares during the quarter. Walmart comprises 42.4% of Narus Financial Partners LLC's investment portfolio, making the stock its biggest holding. Narus Financial Partners LLC's holdings in Walmart were worth $154,086,000 at the end of the most recent quarter.

Other institutional investors have also bought and sold shares of the company. Entrust Financial LLC bought a new stake in Walmart during the fourth quarter valued at $27,000. Collier Financial acquired a new stake in shares of Walmart in the 3rd quarter valued at about $25,000. Your Advocates Ltd. LLP bought a new stake in Walmart in the 3rd quarter valued at about $28,000. Beacon Financial Strategies CORP bought a new stake in Walmart in the 4th quarter valued at about $30,000. Finally, Redmont Wealth Advisors LLC acquired a new position in Walmart during the 3rd quarter worth approximately $30,000. Institutional investors own 26.76% of the company's stock.

Insiders Place Their Bets

In related news, EVP Daniel J. Bartlett sold 1,335 shares of the firm's stock in a transaction dated Wednesday, April 15th. The shares were sold at an average price of $124.63, for a total value of $166,381.05. Following the transaction, the executive vice president owned 636,843 shares of the company's stock, valued at approximately $79,369,743.09. This trade represents a 0.21% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP John D. Rainey sold 20,000 shares of the firm's stock in a transaction dated Monday, March 2nd. The shares were 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. The trade was a 3.95% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 126,008 shares of company stock worth $15,896,715 in the last 90 days. Company insiders own 0.10% of the company's stock.

Analyst Upgrades and Downgrades

Several research analysts have issued reports on WMT shares. Evercore reiterated an "outperform" rating on shares of Walmart in a report on Monday, May 18th. TD Cowen reiterated a "buy" rating and issued a $150.00 price target (up from $145.00) on shares of Walmart in a report on Thursday, May 7th. Piper Sandler reiterated an "overweight" rating and issued a $137.00 price target (up from $130.00) on shares of Walmart in a report on Friday, May 15th. Tigress Financial set a $150.00 price target on Walmart and gave the stock a "buy" rating in a report on Wednesday, February 25th. Finally, Rothschild & Co Redburn set a $150.00 price target on Walmart in a report on Tuesday, February 17th. Two research analysts have rated the stock with a Strong Buy rating, thirty-one have assigned a Buy rating and three have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $138.71.

Walmart Price Performance

Shares of NASDAQ WMT opened at $120.27 on Monday. Walmart Inc. has a fifty-two week low of $93.43 and a fifty-two week high of $135.15. The stock has a market cap of $958.67 billion, a price-to-earnings ratio of 42.20, a PEG ratio of 4.45 and a beta of 0.65. The company has a debt-to-equity ratio of 0.42, a quick ratio of 0.24 and a current ratio of 0.77. The firm's 50-day simple moving average is $126.77 and its 200 day simple moving average is $120.16.

Walmart (NASDAQ:WMT - Get Free Report) last announced its quarterly earnings results on Thursday, May 21st. The retailer reported $0.66 earnings per share for the quarter, meeting the consensus estimate of $0.66. Walmart had a net margin of 3.13% and a return on equity of 21.25%. The business had revenue of $177.75 billion for the quarter, compared to analysts' expectations of $174.84 billion. During the same quarter last year, the firm 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. As a group, research analysts anticipate that Walmart Inc. will post 2.89 earnings per share for the current fiscal year.

Walmart News Summary

Here are the key news stories impacting Walmart this week:

• Positive Sentiment: Walmart posted solid first-quarter results, with revenue of $177.8 billion and EPS of $0.66, while e-commerce sales rose 26% and advertising revenue jumped 37%, highlighting continued strength in digital and membership-driven businesses.
• Positive Sentiment: Several analysts remained constructive after earnings: Bank of America reiterated a Buy rating and said Walmart is well positioned to gain share in a price-sensitive environment, while BTIG and BNP Paribas Exane also kept positive ratings despite modestly trimming price targets.
• Neutral Sentiment: Walmart disclosed pre-arranged insider sales by CEO John Furner and EVP Christopher James Nicholas, but both transactions were made under 10b5-1 plans, which typically limits how much investors read into them.
• Neutral Sentiment: News reports also noted leadership changes, including the departure of Sam’s Club COO Tom Ward and U.S. stores EVP Cedric Clark, adding some uncertainty but not appearing to change the company’s near-term operating outlook.
• Negative Sentiment: Shares weakened after Walmart issued second-quarter EPS guidance below consensus and reaffirmed full-year targets that also came in below Wall Street expectations, prompting concerns that margin pressure could continue.
• Negative Sentiment: Management said elevated fuel prices are pressuring both consumers and Walmart’s own costs, reinforcing worries that spending could soften and profitability could stay under pressure in the coming quarters.

About Walmart

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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