Walmart (NYSE:WMT) Trading Down 1.7% - Here's Why

Key Points

• Walmart's stock experienced a decline of 1.7% during mid-day trading, with shares trading between $100.91 and $101.91, significantly below its prior close of $103.62.
• Analysts have generally rated Walmart positively, with 31 out of 33 assigning a buy rating, and price targets ranging from $105.00 to $117.00, indicating optimism about the company's future performance.
• Walmart declared a dividend of $0.235 per share, with a yield of 90.0%, set to be paid on September 2nd, and a current dividend payout ratio of 40.17%.

Shares of Walmart Inc. (NYSE:WMT - Get Free Report) dropped 1.7% during trading on Wednesday . The company traded as low as $100.91 and last traded at $101.91. Approximately 6,182,373 shares traded hands during trading, a decline of 67% from the average daily volume of 18,950,438 shares. The stock had previously closed at $103.62.

Analysts Set New Price Targets

WMT has been the topic of a number of recent research reports. Erste Group Bank upgraded shares of Walmart from a "hold" rating to a "buy" rating in a research note on Tuesday, August 5th. Truist Financial upped their price target on shares of Walmart from $107.00 to $111.00 and gave the company a "buy" rating in a research note on Friday, May 16th. Citigroup restated a "buy" rating on shares of Walmart in a research note on Tuesday, May 6th. Evercore ISI upped their price target on shares of Walmart from $107.00 to $108.00 and gave the company an "outperform" rating in a research note on Tuesday. Finally, Tigress Financial upped their price target on shares of Walmart from $115.00 to $120.00 and gave the company a "buy" rating in a research note on Wednesday, July 2nd. One analyst has rated the stock with a hold rating, thirty-one have issued a buy rating and one has issued a strong buy rating to the company. Based on data from MarketBeat, the stock currently has an average rating of "Buy" and an average target price of $107.47.

Walmart Stock Performance

The company's 50-day moving average price is $97.60 and its two-hundred day moving average price is $95.58. The company has a debt-to-equity ratio of 0.47, a quick ratio of 0.22 and a current ratio of 0.78. The stock has a market cap of $797.72 billion, a PE ratio of 42.72, a PEG ratio of 4.80 and a beta of 0.66.

Walmart (NYSE:WMT - Get Free Report) last posted its quarterly earnings data on Thursday, May 15th. The retailer reported $0.61 earnings per share for the quarter, beating the consensus estimate of $0.58 by $0.03. Walmart had a net margin of 2.75% and a return on equity of 21.76%. The firm had revenue of $165.61 billion for the quarter, compared to analysts' expectations of $164.53 billion. During the same quarter last year, the company posted $0.60 EPS. The business's quarterly revenue was up 2.5% on a year-over-year basis. On average, equities research analysts forecast that Walmart Inc. will post 2.55 EPS for the current year.

Walmart Dividend Announcement

The firm also recently announced a dividend, which will be paid on Tuesday, September 2nd. Investors of record on Monday, August 18th will be issued a dividend of $0.235 per share. The ex-dividend date of this dividend is Friday, August 15th. This represents a dividend yield of 90.0%. Walmart's dividend payout ratio (DPR) is currently 40.17%.

Insider Buying and Selling at Walmart

In related news, EVP Kathryn J. Mclay sold 28,000 shares of the stock in a transaction on Wednesday, May 21st. The shares were sold at an average price of $97.00, for a total transaction of $2,716,000.00. Following the transaction, the executive vice president owned 1,064,455 shares of the company's stock, valued at approximately $103,252,135. This trade represents a 2.56% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, EVP John D. Rainey sold 2,200 shares of the stock in a transaction on Tuesday, July 1st. The shares were sold at an average price of $98.44, for a total transaction of $216,568.00. Following the transaction, the executive vice president directly owned 628,318 shares in the company, valued at approximately $61,851,623.92. This represents a 0.35% decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 144,334 shares of company stock worth $13,913,350 in the last quarter. 0.10% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Walmart

Institutional investors and hedge funds have recently made changes to their positions in the business. Whelan Financial grew its holdings in Walmart by 2.3% in the 4th quarter. Whelan Financial now owns 4,339 shares of the retailer's stock worth $392,000 after acquiring an additional 97 shares during the last quarter. Atlas Legacy Advisors LLC grew its holdings in Walmart by 1.1% in the 2nd quarter. Atlas Legacy Advisors LLC now owns 8,707 shares of the retailer's stock worth $851,000 after acquiring an additional 98 shares during the last quarter. Meridian Wealth Partners LLC grew its holdings in Walmart by 2.1% in the 2nd quarter. Meridian Wealth Partners LLC now owns 4,804 shares of the retailer's stock worth $470,000 after acquiring an additional 99 shares during the last quarter. Bedel Financial Consulting Inc. grew its holdings in Walmart by 0.4% in the 1st quarter. Bedel Financial Consulting Inc. now owns 25,915 shares of the retailer's stock worth $2,275,000 after acquiring an additional 102 shares during the last quarter. Finally, Revolve Wealth Partners LLC grew its holdings in Walmart by 1.1% in the 2nd quarter. Revolve Wealth Partners LLC now owns 9,830 shares of the retailer's stock worth $961,000 after acquiring an additional 103 shares during the last quarter. Institutional investors own 26.76% of the company's stock.

Walmart Company Profile

Walmart Inc engages in the operation of retail, wholesale, other units, and eCommerce worldwide. The company operates through three segments: Walmart U.S., Walmart International, and Sam's Club. It operates supercenters, supermarkets, hypermarkets, warehouse clubs, cash and carry stores, and discount stores under Walmart and Walmart Neighborhood Market brands; membership-only warehouse clubs; ecommerce websites, such as walmart.com.mx, walmart.ca, flipkart.com, PhonePe and other sites; and mobile commerce applications.