Walmart (NASDAQ:WMT) Stock Price Down 1.6% - Should You Sell?

Key Points

• Walmart shares fell 1.6% in Tuesday trading, closing near $110.39 after trading as low as $109.89, with volume below its daily average.
• Despite the dip, Wall Street remains broadly bullish: analysts have a Moderate Buy consensus rating and an average price target of $138.85, with several firms reiterating buy/outperform calls.
• The company’s latest quarterly results were solid, with EPS of $0.66 matching estimates and revenue of $177.75 billion topping expectations; revenue also rose 7.4% year over year.

Shares of Walmart Inc. (NASDAQ:WMT - Get Free Report) traded down 1.6% on Tuesday . The company traded as low as $109.89 and last traded at $110.39. 22,334,822 shares were traded during mid-day trading, a decline of 13% from the average daily volume of 25,570,260 shares. The stock had previously closed at $112.20.

Wall Street Analysts Forecast Growth

A number of equities research analysts have issued reports on the company. Piper Sandler restated an "overweight" rating on shares of Walmart in a research note on Monday, June 8th. Royal Bank Of Canada reissued an "outperform" rating and issued a $137.00 price objective (down from $140.00) on shares of Walmart in a report on Friday, May 22nd. TD Cowen restated a "buy" rating and set a $150.00 target price (up from $145.00) on shares of Walmart in a research report on Thursday, May 7th. Evercore reaffirmed an "outperform" rating on shares of Walmart in a report on Monday, May 18th. Finally, BTIG Research reiterated a "buy" rating and issued a $145.00 price target on shares of Walmart in a research report on Wednesday, June 3rd. One equities research analyst has rated the stock with a Strong Buy rating, thirty-one have assigned a Buy rating and four have issued a Hold rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $138.85.

Walmart Price Performance

The firm has a 50 day moving average price of $118.51 and a 200 day moving average price of $122.11. 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 has a market cap of $878.49 billion, a P/E ratio of 38.73, a P/E/G ratio of 4.26 and a beta of 0.60.

Walmart (NASDAQ:WMT - Get Free Report) last announced its quarterly earnings data on Thursday, May 21st. The retailer reported $0.66 earnings per share (EPS) for the quarter, meeting analysts' consensus estimates of $0.66. The company had revenue of $177.75 billion during the quarter, compared to the consensus estimate of $174.84 billion. Walmart had a return on equity of 21.25% and a net margin of 3.13%.The firm's revenue was up 7.4% on a year-over-year basis. During the same period in the previous year, the company posted $0.61 EPS. Walmart has set its FY 2027 guidance at 2.750-2.850 EPS and its Q2 2027 guidance at 0.720-0.740 EPS. On average, analysts forecast that Walmart Inc. will post 2.89 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, EVP Daniel J. Bartlett sold 3,775 shares of the stock in a transaction on Wednesday, July 1st. The shares were sold at an average price of $109.64, for a total value of $413,891.00. Following the completion of the sale, 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 ownership of the stock. The sale 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, Director C Douglas Mcmillon sold 19,416 shares of the firm's stock in a transaction on Thursday, April 23rd. The shares were sold at an average price of $132.21, for a total transaction of $2,566,989.36. Following the sale, the director owned 4,193,995 shares in the company, valued at $554,488,078.95. The trade was a 0.46% 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. Over the last quarter, insiders sold 87,145 shares of company stock valued at $10,691,920. Insiders own 0.09% of the company's stock.

Hedge Funds Weigh In On Walmart

Large investors have recently made changes to their positions in the business. First Community Trust NA grew its position in shares of Walmart by 0.5% during the second quarter. First Community Trust NA now owns 25,066 shares of the retailer's stock worth $2,839,000 after purchasing an additional 117 shares in the last quarter. Walker Asset Management LLC lifted its holdings in Walmart by 1.3% in the 2nd quarter. Walker Asset Management LLC now owns 132,499 shares of the retailer's stock worth $15,007,000 after purchasing an additional 1,698 shares in the last quarter. Ballast Inc. lifted its holdings in Walmart by 10.4% in the 2nd quarter. Ballast Inc. now owns 26,066 shares of the retailer's stock worth $2,952,000 after purchasing an additional 2,466 shares in the last quarter. Regent Peak Wealth Advisors LLC boosted its stake in Walmart by 1.7% in the 2nd quarter. Regent Peak Wealth Advisors LLC now owns 18,800 shares of the retailer's stock worth $2,129,000 after purchasing an additional 311 shares during the period. Finally, Butensky & Cohen Financial Security Inc. boosted its stake in Walmart by 27.6% in the 2nd quarter. Butensky & Cohen Financial Security Inc. now owns 33,228 shares of the retailer's stock worth $3,763,000 after purchasing an additional 7,185 shares during the period. 26.76% of the stock is currently owned by hedge funds and other institutional investors.

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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