JPMorgan Chase & Co. Has Lowered Expectations for Walmart (NASDAQ:WMT) Stock Price

Key Points

• JPMorgan lowered Walmart’s price target from $137 to $125 while maintaining an “overweight” rating, implying about 21% upside from the cited closing price. The broader analyst consensus remains “Moderate Buy,” with an average target of $133.82.
• Walmart reported better-than-expected quarterly results, with EPS of $0.81 versus $0.74 expected and revenue of $187.94 billion, up 5.9% year over year. E-commerce, advertising, and membership revenue posted strong growth.
• Despite the earnings beat, Walmart shares fell 0.7% to $103.14 as U.S. comparable-sales growth of 2.6% missed expectations and the company’s near-term guidance was viewed as soft, with price investments potentially pressuring margins.

Walmart (NASDAQ:WMT - Get Free Report) had its price objective decreased by investment analysts at JPMorgan Chase & Co. from $137.00 to $125.00 in a report issued on Friday,Benzinga reports. The firm presently has an "overweight" rating on the retailer's stock. JPMorgan Chase & Co.'s target price would indicate a potential upside of 21.19% from the stock's previous close.

WMT has been the subject of a number of other reports. Gordon Haskett downgraded Walmart from a "buy" rating to an "accumulate" rating in a research report on Thursday. Guggenheim set a $130.00 target price on shares of Walmart and gave the stock a "buy" rating in a report on Friday. BTIG Research lowered their price target on shares of Walmart from $145.00 to $140.00 and set a "buy" rating on the stock in a report on Friday. BNP Paribas Exane cut their price objective on shares of Walmart from $147.00 to $146.00 and set an "outperform" rating on the stock in a research report on Friday, May 22nd. Finally, Piper Sandler reiterated an "overweight" rating on shares of Walmart in a research note on Friday. One investment analyst has rated the stock with a Strong Buy rating, thirty-two have issued a Buy rating, four have given a Hold rating and one has issued a Sell rating to the company's stock. According to MarketBeat.com, the company has a consensus rating of "Moderate Buy" and a consensus price target of $133.82.

Walmart Stock Down 0.7%

Shares of NASDAQ WMT traded down $0.70 during midday trading on Friday, reaching $103.14. 24,071,623 shares of the company's stock traded hands, compared to its average volume of 25,482,416. The company has a quick ratio of 0.23, a current ratio of 0.77 and a debt-to-equity ratio of 0.42. The stock's 50 day simple moving average is $113.69 and its 200-day simple moving average is $121.39. Walmart has a one year low of $95.42 and a one year high of $135.15. The company has a market cap of $820.80 billion, a price-to-earnings ratio of 36.19, a P/E/G ratio of 4.27 and a beta of 0.61.

Walmart (NASDAQ:WMT - Get Free Report) last issued its quarterly earnings data on Thursday, August 20th. The retailer reported $0.81 EPS for the quarter, topping analysts' consensus estimates of $0.74 by $0.07. The company had revenue of $187.94 billion during the quarter, compared to the consensus estimate of $186.62 billion. Walmart had a net margin of 3.13% and a return on equity of 21.25%. Walmart's revenue for the quarter was up 5.9% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $0.68 earnings per share. 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 predict that Walmart will post 2.88 EPS for the current fiscal year.

Insider Buying and Selling at Walmart

In other Walmart news, Director C Douglas Mcmillon sold 19,416 shares of the business's stock in a transaction dated Thursday, May 28th. The stock was sold at an average price of $118.63, for a total transaction of $2,303,320.08. Following the sale, the director owned 4,174,579 shares in the company, valued at approximately $495,230,306.77. The trade was a 0.46% decrease in their position. The transaction was disclosed in a document filed 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 Daniel J. Bartlett sold 3,710 shares of the stock in a transaction dated Monday, August 3rd. The shares were sold at an average price of $113.10, for a total value of $419,601.00. Following the completion of the transaction, the executive vice president directly owned 626,299 shares in the company, valued at $70,834,416.90. This represents a 0.59% decrease in their ownership of the stock. 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 ninety days, insiders sold 54,164 shares of company stock valued at $6,389,402. Company insiders own 0.09% of the company's stock.

Hedge Funds Weigh In On Walmart

Several hedge funds and other institutional investors have recently bought and sold shares of WMT. Advisortrust Partners LLC raised its holdings in shares of Walmart by 20.2% during the first quarter. Advisortrust Partners LLC now owns 67,142 shares of the retailer's stock valued at $8,344,000 after purchasing an additional 11,283 shares during the last quarter. Union Bancaire Privee UBP SA lifted its holdings in shares of Walmart by 253.3% during the 1st quarter. Union Bancaire Privee UBP SA now owns 384,034 shares of the retailer's stock valued at $47,728,000 after buying an additional 275,337 shares during the period. Janney Montgomery Scott LLC increased its position in Walmart by 2.9% during the first quarter. Janney Montgomery Scott LLC now owns 2,416,580 shares of the retailer's stock valued at $300,333,000 after acquiring an additional 68,632 shares during the last quarter. Vise Technologies Inc. boosted its position in Walmart by 42.1% in the fourth quarter. Vise Technologies Inc. now owns 275,341 shares of the retailer's stock worth $30,676,000 after purchasing an additional 81,635 shares during the last quarter. Finally, HORAN Wealth LLC boosted its position in Walmart by 55.7% in the first quarter. HORAN Wealth LLC now owns 81,544 shares of the retailer's stock worth $9,931,000 after purchasing an additional 29,184 shares during the last quarter. Institutional investors and hedge funds own 26.76% of the company's stock.

Trending Headlines about Walmart

Here are the key news stories impacting Walmart this week:

• Positive Sentiment: Walmart exceeded second-quarter expectations with adjusted EPS of $0.81 versus the $0.74 consensus and revenue of $187.9 billion, up 5.9% year over year. The company also raised its fiscal 2027 outlook. Walmart quarterly earnings report
• Positive Sentiment: Digital operations remain strong: global e-commerce sales rose 23%, advertising revenue increased 38%, and global membership revenue grew 17%. These businesses are helping offset slower growth in traditional stores. Walmart reports revenue growth
• Positive Sentiment: Walmart plans to use approximately $2.9 billion in tariff refunds to support price reductions, potentially strengthening its value proposition and customer traffic. The company will also begin accepting Apple Pay and Google Pay at Walmart and Sam’s Club stores. Walmart adds Apple Pay and Google Pay
• Neutral Sentiment: Wells Fargo, RBC, Robert W. Baird and BTIG all reduced their Walmart price targets following the earnings release, but maintained bullish ratings ranging from “overweight” to “buy.” The revisions indicate reduced near-term expectations rather than a broad change in long-term sentiment. Analysts lower Walmart forecasts
• Negative Sentiment: U.S. comparable sales grew 2.6%, well below the roughly 3.5%–3.7% analysts expected and the weakest growth in more than six years. Higher fuel and living costs are prompting consumers to cut back and make trade-offs. Reuters Walmart sales report
• Negative Sentiment: Fiscal third-quarter revenue and EPS guidance came in below Wall Street expectations. Management also cited the timing of Flipkart’s promotional event as a headwind, while price investments could pressure margins and profits in the near term. Investopedia Walmart forecast report

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source