Vega Investment Solutions Invests $1.25 Million in Walmart Inc. $WMT

Key Points

• Vega Investment Solutions acquired 11,059 Walmart shares in the second quarter, valued at approximately $1.25 million. Institutional investors collectively own 26.76% of Walmart.
• Walmart reported stronger-than-expected quarterly results, with revenue of $187.94 billion, EPS of $0.81, and 5.9% year-over-year revenue growth; global e-commerce rose 23% and advertising revenue increased 38%.
• Despite a “Moderate Buy” consensus and average analyst price target of $131.88, several firms recently lowered their targets as shares trade below key moving averages and investors weigh Walmart’s elevated 37.22 P/E ratio against slower core-sales growth.

Vega Investment Solutions acquired a new stake in shares of Walmart Inc. (NASDAQ:WMT - Free Report) in the 2nd quarter, according to the company in its most recent filing with the SEC. The institutional investor acquired 11,059 shares of the retailer's stock, valued at approximately $1,253,000.

A number of other institutional investors have also recently made changes to their positions in WMT. State Street Corp grew its stake in shares of Walmart by 1.2% during the third quarter. State Street Corp now owns 184,805,978 shares of the retailer's stock worth $19,046,104,000 after acquiring an additional 2,242,364 shares during the last quarter. Geode Capital Management LLC increased its holdings in shares of Walmart by 6.8% during the fourth quarter. Geode Capital Management LLC now owns 103,010,709 shares of the retailer's stock valued at $11,426,753,000 after acquiring an additional 6,517,394 shares in the last quarter. Norges Bank purchased a new position in shares of Walmart in the 4th quarter valued at approximately $6,458,529,000. Fisher Asset Management LLC raised its position in shares of Walmart by 0.8% in the 4th quarter. Fisher Asset Management LLC now owns 40,626,852 shares of the retailer's stock valued at $4,526,238,000 after purchasing an additional 328,229 shares during the last quarter. Finally, Franklin Resources Inc. boosted its stake in Walmart by 2.6% in the 4th quarter. Franklin Resources Inc. now owns 36,820,550 shares of the retailer's stock worth $4,102,546,000 after purchasing an additional 920,969 shares in the last quarter. Institutional investors and hedge funds own 26.76% of the company's stock.

Key Walmart News

Here are the key news stories impacting Walmart this week:

• Positive Sentiment: Walmart’s fiscal second-quarter results showed continued momentum beyond traditional store sales: revenue reached approximately $187.9 billion, global e-commerce grew 23%, and advertising revenue increased 38%. These higher-growth businesses could support future margins and cash flow. Walmart Growth Engine Hums
• Positive Sentiment: Analysts and commentary continue to point to Walmart’s expanding e-commerce, digital advertising, memberships, convenience-led fulfillment, automation and AI initiatives as reasons the recent decline could represent a long-term buying opportunity. Walmart’s scale and value-focused pricing remain important competitive advantages. Walmart Continues to Grow Beyond Retail
• Neutral Sentiment: Walmart settled a U.S. Justice Department lawsuit alleging that its pharmacies unlawfully contributed to the opioid epidemic. Resolving the case removes an overhang and reduces legal uncertainty, although the financial terms and any broader implications remain important for investors. Walmart Settles U.S. Opioid Lawsuit
• Negative Sentiment: Recent coverage highlights a potentially tougher consumer environment. Walmart’s comparable sales growth was 3.4% excluding pharmacy-related items, while middle-income shoppers appear increasingly focused on necessities and limiting discretionary purchases. Walmart and Home Depot Results
• Negative Sentiment: Investors are also questioning whether Walmart’s valuation adequately reflects its strong performance. A high earnings multiple, slower core sales growth and the stock’s position below its moving averages have amplified the impact of the recent selloff. Walmart Selloff Analysis
• Negative Sentiment: Executive Vice President Daniel Danker sold 50,644 shares worth approximately $5.3 million. The sale was made under a pre-arranged Rule 10b5-1 plan to cover taxes on vested equity awards, making it a weaker bearish signal than discretionary insider selling. Walmart Insider Trading Filing

Walmart Stock Performance

WMT opened at $103.09 on Friday. Walmart Inc. has a 12-month low of $95.79 and a 12-month high of $135.15. The company has a current ratio of 0.77, a quick ratio of 0.23 and a debt-to-equity ratio of 0.41. The firm has a market capitalization of $820.40 billion, a PE ratio of 37.22, a P/E/G ratio of 3.90 and a beta of 0.61. The firm has a 50 day moving average of $111.90 and a two-hundred day moving average of $120.45.

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

Wall Street Analyst Weigh In

Several research firms have weighed in on WMT. JPMorgan Chase & Co. dropped their target price on shares of Walmart from $137.00 to $125.00 and set an "overweight" rating on the stock in a research report on Friday, August 21st. Sanford C. Bernstein reaffirmed an "outperform" rating on shares of Walmart in a report on Friday, August 21st. Robert W. Baird lowered their price objective on shares of Walmart from $140.00 to $120.00 and set an "outperform" rating for the company in a research note on Friday, August 21st. Citigroup cut their target price on Walmart from $147.00 to $132.00 and set a "buy" rating on the stock in a research report on Friday, August 21st. Finally, Freedom Capital raised Walmart from a "hold" rating to a "strong-buy" rating in a research report on Thursday, August 20th. Three equities research analysts have rated the stock with a Strong Buy rating, thirty-two have assigned a Buy rating and four have given a Hold rating to the company's stock. Based on data from MarketBeat, Walmart presently has a consensus rating of "Moderate Buy" and an average price target of $131.88.

Insider Buying and Selling at Walmart

In related news, EVP David W. Guggina sold 11,978 shares of the business's stock in a transaction on Wednesday, June 10th. The shares were sold at an average price of $119.82, for a total transaction of $1,435,203.96. Following the completion of the transaction, the executive vice president directly owned 125,067 shares in the company, valued at $14,985,527.94. The trade was a 8.74% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Christopher James 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 directly owned 569,153 shares in the company, valued at approximately $60,523,730.02. The trade was a 0.51% 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 three months, insiders sold 77,292 shares of company stock worth $8,421,143. 0.09% of the stock is currently owned by company insiders.

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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