Walmart (NYSE:WMT) Shares Up 4.9% - Here's Why

Key Points

• Walmart's shares rose by 4.9% during trading, with the stock price climbing from a previous close of $102.12 to $107.15 amidst unusually high trading volume of over 30 million shares.
• Several brokerages have upgraded Walmart's ratings, with target prices ranging from $110.00 to $129.00, indicating strong potential for the stock given the consensus rating of "Moderate Buy."
• Walmart's latest earnings report showed a missed earnings estimate of $0.68 per share against the expected $0.74, but revenue increased by 4.8% year-over-year, totaling $169.34 billion for the quarter.

Walmart Inc. (NYSE:WMT - Get Free Report)'s share price shot up 4.9% during trading on Tuesday . The company traded as high as $107.92 and last traded at $107.15. 30,648,654 shares were traded during mid-day trading, an increase of 64% from the average session volume of 18,631,904 shares. The stock had previously closed at $102.12.

Analysts Set New Price Targets

A number of brokerages have recently issued reports on WMT. Evercore ISI restated an "outperform" rating and issued a $110.00 price target (up previously from $108.00) on shares of Walmart in a research report on Monday, August 18th. Piper Sandler restated an "overweight" rating and issued a $111.00 target price on shares of Walmart in a report on Wednesday, September 24th. Guggenheim restated a "buy" rating and issued a $115.00 target price (up previously from $112.00) on shares of Walmart in a report on Monday, August 18th. Sanford C. Bernstein set a $117.00 price objective on Walmart and gave the company an "outperform" rating in a research note on Friday, August 22nd. Finally, Wolfe Research assumed coverage on Walmart in a research note on Thursday, September 18th. They issued an "outperform" rating and a $129.00 price objective on the stock. Thirty investment analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and an average price target of $112.38.

Walmart Trading Up 4.9%

The company has a debt-to-equity ratio of 0.43, a quick ratio of 0.23 and a current ratio of 0.79. The business has a 50 day moving average of $101.27 and a two-hundred day moving average of $97.46. The firm has a market capitalization of $854.27 billion, a price-to-earnings ratio of 40.28, a P/E/G ratio of 4.80 and a beta of 0.67.

Walmart (NYSE:WMT - Get Free Report) last issued its earnings results on Thursday, August 21st. The retailer reported $0.68 earnings per share for the quarter, missing analysts' consensus estimates of $0.74 by ($0.06). Walmart had a return on equity of 21.45% and a net margin of 3.08%.The firm had revenue of $169.34 billion for the quarter, compared to analyst estimates of $174.02 billion. During the same period in the previous year, the company earned $0.67 earnings per share. Walmart's revenue for the quarter was up 4.8% compared to the same quarter last year. Walmart has set its Q3 2026 guidance at 0.580-0.600 EPS. FY 2026 guidance at 2.520-2.620 EPS. Equities analysts predict that Walmart Inc. will post 2.55 EPS for the current year.

Insider Buying and Selling

In related news, CEO C Douglas Mcmillon sold 19,416 shares of the company's stock in a transaction dated Thursday, September 25th. The shares were sold at an average price of $103.21, for a total value of $2,003,925.36. Following the sale, the chief executive officer owned 4,373,576 shares in the company, valued at $451,396,778.96. This represents a 0.44% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, EVP John D. Rainey sold 2,200 shares of the company's stock in a transaction dated Wednesday, October 1st. The stock was sold at an average price of $101.33, for a total transaction of $222,926.00. Following the completion of the sale, the executive vice president owned 621,718 shares in the company, valued at $62,998,684.94. This represents a 0.35% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 149,488 shares of company stock worth $14,917,151 over the last ninety days. Insiders own 0.10% of the company's stock.

Institutional Investors Weigh In On Walmart

Institutional investors and hedge funds have recently bought and sold shares of the stock. Access Investment Management LLC bought a new position in shares of Walmart during the second quarter valued at about $26,000. Operose Advisors LLC increased its stake in Walmart by 319.7% in the 1st quarter. Operose Advisors LLC now owns 319 shares of the retailer's stock valued at $28,000 after buying an additional 243 shares during the last quarter. PFS Partners LLC increased its stake in Walmart by 267.8% in the 2nd quarter. PFS Partners LLC now owns 320 shares of the retailer's stock valued at $31,000 after buying an additional 233 shares during the last quarter. Ridgewood Investments LLC increased its stake in Walmart by 55.3% in the 2nd quarter. Ridgewood Investments LLC now owns 323 shares of the retailer's stock valued at $32,000 after buying an additional 115 shares during the last quarter. Finally, Bear Mountain Capital Inc. increased its stake in Walmart by 98.2% in the 1st quarter. Bear Mountain Capital Inc. now owns 337 shares of the retailer's stock valued at $32,000 after buying an additional 167 shares during the last quarter. 26.76% of the stock is owned by hedge funds and other institutional investors.

About Walmart

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.

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