Walmart (NASDAQ:WMT) Price Target Cut to $120.00 by Analysts at Wells Fargo & Company

Key Points

• Wells Fargo cut Walmart’s price target from $140 to $120 while maintaining an “overweight” rating, implying 17.18% upside from the prior close.
• Analyst sentiment remains broadly positive, with Walmart carrying a “Moderate Buy” consensus rating and an average price target of $134.53, despite several recent target reductions.
• Walmart exceeded quarterly earnings and revenue expectations, but U.S. comparable sales growth of 2.6% missed forecasts. Growth increasingly depends on e-commerce, advertising and membership businesses as traditional store momentum slows.

Walmart (NASDAQ:WMT - Get Free Report) had its price target lowered by research analysts at Wells Fargo & Company from $140.00 to $120.00 in a note issued to investors on Friday,Benzinga reports. The firm presently has an "overweight" rating on the retailer's stock. Wells Fargo & Company's price objective would indicate a potential upside of 17.18% from the stock's previous close.

A number of other brokerages have also recently commented on WMT. Tigress Financial reiterated a "buy" rating and set a $155.00 price target (up from $150.00) on shares of Walmart in a research report on Friday, May 29th. 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 report on Friday. Evercore reaffirmed an "outperform" rating on shares of Walmart in a research note on Monday, May 18th. Gordon Haskett lowered shares of Walmart from a "buy" rating to an "accumulate" rating in a report on Thursday. Finally, Morgan Stanley reiterated an "overweight" rating and issued a $125.00 target price (down from $140.00) on shares of Walmart in a research report on Friday. One research analyst has rated the stock with a Strong Buy rating, thirty-two have assigned a Buy rating, four have assigned a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus target price of $134.53.

Walmart Price Performance

Shares of WMT traded down $1.43 during midday trading on Friday, reaching $102.41. The stock had a trading volume of 15,752,879 shares, compared to its average volume of 25,433,518. The company's 50-day moving average is $113.69 and its 200 day moving average is $121.39. Walmart has a 12-month low of $95.42 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 0.42. The company has a market capitalization of $814.99 billion, a price-to-earnings ratio of 35.93, a price-to-earnings-growth ratio of 4.27 and a beta of 0.61.

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

Insider Transactions at Walmart

In other news, EVP Christopher James Nicholas sold 2,900 shares of the stock in a transaction that occurred on Thursday, June 18th. The stock was sold at an average price of $118.19, for a total transaction of $342,751.00. Following the completion of the sale, the executive vice president owned 574,953 shares of the company's stock, valued at approximately $67,953,695.07. This represents a 0.50% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director C Douglas Mcmillon sold 19,416 shares of Walmart stock in a transaction on 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 completion of the transaction, the director directly owned 4,174,579 shares in the company, valued at approximately $495,230,306.77. 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. In the last ninety days, insiders have sold 54,164 shares of company stock valued at $6,389,402. Insiders own 0.09% of the company's stock.

Hedge Funds Weigh In On Walmart

Hedge funds and other institutional investors have recently modified their holdings of the company. Emergent Wealth Advisors LLC grew its stake in shares of Walmart by 15.9% in the second quarter. Emergent Wealth Advisors LLC now owns 7,162 shares of the retailer's stock worth $811,000 after purchasing an additional 980 shares during the last quarter. Beacon Financial Advisory LLC increased its holdings in Walmart by 1.8% during the 2nd quarter. Beacon Financial Advisory LLC now owns 13,307 shares of the retailer's stock valued at $1,507,000 after purchasing an additional 234 shares during the period. Tsfg LLC raised its position in Walmart by 8.9% during the 2nd quarter. Tsfg LLC now owns 14,893 shares of the retailer's stock valued at $1,687,000 after purchasing an additional 1,213 shares during the last quarter. Briaud Financial Planning Inc raised its position in Walmart by 6.0% during the 2nd quarter. Briaud Financial Planning Inc now owns 1,780 shares of the retailer's stock valued at $202,000 after purchasing an additional 101 shares during the last quarter. Finally, Symphony Financial Ltd. Co. lifted its holdings in Walmart by 2.3% in the 2nd quarter. Symphony Financial Ltd. Co. now owns 54,586 shares of the retailer's stock worth $6,248,000 after buying an additional 1,207 shares during the period. 26.76% of the stock is owned by institutional investors.

Key Walmart News

Here are the key news stories impacting Walmart this week:

• Positive Sentiment: Walmart reported adjusted EPS of $0.81 versus the $0.74 consensus and revenue of $187.94 billion versus $186.62 billion expected. Revenue increased 5.9% year over year, while global e-commerce rose 23%, advertising revenue grew 38% and membership revenue increased 17%. Walmart earnings report
• Positive Sentiment: Management raised its full-year fiscal 2027 outlook and expects to use approximately $2.9 billion in tariff refunds to help lower prices beginning in the third quarter. The move could support customer traffic and Walmart’s value proposition, although it may limit near-term margins. Walmart tariff refund and price cuts
• Positive Sentiment: Analysts remain broadly constructive: RBC lowered its target from $137 to $131 while retaining an “outperform” rating; BTIG cut its target to $140 but kept a “buy” rating; and Baird reduced its target to $120 while maintaining “outperform.” These targets imply substantial upside from the current quote. RBC Walmart price target
• Neutral Sentiment: Walmart’s e-commerce, marketplace, membership and advertising businesses are increasingly driving growth, while traditional store sales are losing momentum. This supports long-term diversification but highlights pressure on the core U.S. consumer business. Walmart sales growth drivers
• Negative Sentiment: U.S. comparable sales rose only 2.6%, below estimates near 3.5% and the weakest growth in more than six years. Management’s third-quarter outlook of $0.62–$0.64 EPS and $183.1–$184.5 billion in revenue also fell short of consensus, intensifying concerns about pressured consumers and Walmart’s premium valuation. Reuters Walmart comparable-sales miss

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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