Walmart Inc. $WMT Position Cut by Davidson Investment Advisors

Key Points

• Davidson Investment Advisors cut its Walmart position by 4.8% in the second quarter, selling 10,798 shares and retaining 214,078 shares valued at approximately $24.25 million. Institutional investors and hedge funds collectively own 26.76% of Walmart.
• Walmart reported quarterly EPS of $0.81, beating estimates by $0.07, while revenue rose 5.9% year over year to $187.94 billion. The stock traded at $105.92, below its 50-day and 200-day moving averages.
• Analysts maintain a generally positive outlook, with a consensus “Moderate Buy” rating and a $131.88 price target, although some firms have lowered targets or EPS estimates amid investment and margin concerns.

Davidson Investment Advisors decreased its position in shares of Walmart Inc. (NASDAQ:WMT - Free Report) by 4.8% in the 2nd quarter, according to the company in its most recent Form 13F filing with the SEC. The firm owned 214,078 shares of the retailer's stock after selling 10,798 shares during the quarter. Davidson Investment Advisors' holdings in Walmart were worth $24,247,000 as of its most recent filing with the SEC.

A number of other large investors have also modified their holdings of the company. Bank of America Corp DE acquired a new position in Walmart during the 2nd quarter valued at about $7,455,131,000. Norges Bank acquired a new stake in shares of Walmart in the fourth quarter valued at approximately $6,458,529,000. Legal & General Group Plc acquired a new stake in shares of Walmart in the second quarter valued at approximately $2,905,655,000. AQR Capital Management LLC raised its holdings in shares of Walmart by 188.1% during the third quarter. AQR Capital Management LLC now owns 11,663,172 shares of the retailer's stock valued at $1,199,907,000 after buying an additional 7,614,172 shares during the last quarter. Finally, Canada Pension Plan Investment Board bought a new stake in shares of Walmart during the second quarter valued at approximately $796,677,000. Institutional investors and hedge funds own 26.76% of the company's stock.

Insider Transactions at Walmart

In other news, EVP David W. Guggina sold 11,978 shares of the company's stock in a transaction on Wednesday, June 10th. The stock was sold at an average price of $119.82, for a total value of $1,435,203.96. Following the completion of the sale, the executive vice president owned 125,067 shares in the company, valued at $14,985,527.94. This represents a 8.74% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Daniel J. Bartlett sold 3,775 shares of the firm's stock in a transaction dated Wednesday, July 1st. The shares were sold at an average price of $109.64, for a total value of $413,891.00. Following the transaction, the executive vice president directly owned 630,009 shares of the company's stock, valued at $69,074,186.76. This represents a 0.60% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders sold 77,292 shares of company stock valued at $8,421,143. Company insiders own 0.09% of the company's stock.

Walmart Trading Up 1.0%

Walmart stock opened at $105.92 on Wednesday. The firm has a 50 day simple moving average of $111.38 and a 200-day simple moving average of $120.08. The company has a debt-to-equity ratio of 0.41, a current ratio of 0.77 and a quick ratio of 0.23. The stock has a market capitalization of $840.34 billion, a PE ratio of 38.24, a price-to-earnings-growth ratio of 4.00 and a beta of 0.59. Walmart Inc. has a 12-month low of $96.51 and a 12-month high of $135.15.

Walmart (NASDAQ:WMT - Get Free Report) last announced its earnings results on Thursday, August 20th. The retailer reported $0.81 EPS for the quarter, topping the consensus estimate of $0.74 by $0.07. Walmart had a return on equity of 21.83% and a net margin of 3.00%.The firm had revenue of $187.94 billion for the quarter, compared to analysts' expectations of $186.64 billion. During the same quarter in the previous year, the company earned $0.68 earnings per share. The firm's quarterly 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, equities research analysts expect that Walmart Inc. will post 2.87 EPS for the current fiscal year.

Wall Street Analyst Weigh In

A number of brokerages recently issued reports on WMT. Truist Financial set a $114.00 price objective on Walmart and gave the stock a "buy" rating in a report on Friday, August 21st. Tigress Financial reaffirmed a "buy" rating and set a $155.00 target price on shares of Walmart in a research note on Monday. Cantor Fitzgerald upgraded Walmart to a "buy" rating in a research report on Friday, August 21st. Wells Fargo & Company reduced their price target on Walmart from $140.00 to $120.00 and set an "overweight" rating for the company in a research report on Friday, August 21st. Finally, Mizuho set a $130.00 price target on Walmart in a research note on Monday, July 27th. Three equities research analysts have rated the stock with a Strong Buy rating, thirty-two have assigned a Buy rating and four have assigned a Hold rating to the company's stock. Based on data from MarketBeat, Walmart currently has an average rating of "Moderate Buy" and a consensus target price of $131.88.

Key Stories Impacting Walmart

Here are the key news stories impacting Walmart this week:

• Positive Sentiment: Opioid lawsuit ends with limited financial impact: Walmart agreed to pay approximately $50 million to resolve a Justice Department lawsuit involving its pharmacies’ opioid-distribution practices. The settlement is described as immaterial relative to Walmart’s profits and substantially below the potentially multibillion-dollar penalties once threatened, reducing a major legal overhang. Walmart escapes major legal penalty for a fraction of the cost
• Positive Sentiment: Marketplace growth remains strong: Walmart’s U.S. marketplace sales reportedly increased 52%, helped by a broader product assortment, increased fulfillment adoption and expansion into Mexico and Canada. Continued marketplace momentum could improve customer engagement and support higher-margin advertising and third-party seller revenue. Walmart's Marketplace Momentum Builds
• Positive Sentiment: International digital operations are improving: Rising e-commerce penetration and reduced losses in Walmart International are improving the segment’s economics. However, ongoing investment and margin pressure could limit the near-term earnings benefit. Walmart International's Digital Mix Rises
• Positive Sentiment: Analyst remains bullish: Tigress Financial reaffirmed its “buy” rating and set a $155 price target, implying substantial upside from recent trading levels. SAIC, Walmart And 3 Stocks To Watch
• Neutral Sentiment: Value comparison offers limited direction: Articles comparing Walmart with J. Sainsbury PLC focus on relative valuation rather than a new company-specific catalyst. Walmart’s strong operating profile is balanced by a comparatively elevated earnings multiple, making valuation-sensitive investors more selective. JSAIY vs. WMT: Which Stock Is the Better Value Option?
• Negative Sentiment: EPS estimates were trimmed: Erste Group Bank lowered its fiscal 2027 earnings-per-share estimates for Walmart, reinforcing concerns that elevated investment, e-commerce costs or margin pressure could constrain profit growth. FY2027 EPS Estimates for Walmart Cut by Erste Group Bank

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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