Walmart (NASDAQ:WMT) Shares Down 2.5% – Should You Sell?
by Tristan Rich · The Markets DailyWalmart Inc. (NASDAQ:WMT – Get Free Report)’s share price fell 2.5% during trading on Wednesday . The stock traded as low as $121.83 and last traded at $121.98. 19,682,821 shares traded hands during mid-day trading, a decline of 40% from the average session volume of 32,594,963 shares. The stock had previously closed at $125.08.
Wall Street Analysts Forecast Growth
Several analysts have recently weighed in on the company. Argus upgraded Walmart to a “strong-buy” rating in a research report on Wednesday, February 18th. Raymond James Financial reaffirmed an “outperform” rating and issued a $135.00 price target on shares of Walmart in a research note on Friday, March 6th. Morgan Stanley reissued an “overweight” rating and issued a $135.00 price objective (up from $125.00) on shares of Walmart in a research report on Thursday, January 15th. TD Cowen restated a “buy” rating and issued a $145.00 target price (up from $136.00) on shares of Walmart in a research note on Friday, February 20th. Finally, JPMorgan Chase & Co. raised their target price on shares of Walmart from $128.00 to $129.00 and gave the stock an “overweight” rating in a research report on Friday, November 21st. One analyst has rated the stock with a Strong Buy rating, thirty have issued a Buy rating and four have issued a Hold rating to the company. According to MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $135.76.
Get Our Latest Stock Report on Walmart
Walmart Stock Down 2.5%
The company has a current ratio of 0.79, a quick ratio of 0.24 and a debt-to-equity ratio of 0.38. The firm has a market cap of $972.44 billion, a PE ratio of 44.53, a P/E/G ratio of 4.69 and a beta of 0.66. The business’s 50-day simple moving average is $123.64 and its 200 day simple moving average is $112.47.
Walmart (NASDAQ:WMT – Get Free Report) last announced its quarterly earnings results on Thursday, February 19th. The retailer reported $0.74 earnings per share for the quarter, topping the consensus estimate of $0.73 by $0.01. Walmart had a net margin of 3.07% and a return on equity of 21.44%. The firm had revenue of $190.66 billion during the quarter, compared to analysts’ expectations of $188.37 billion. During the same quarter in the prior year, the company earned $0.66 EPS. The company’s revenue was up 5.6% compared to the same quarter last year. Walmart has set its FY 2027 guidance at 2.750-2.850 EPS and its Q1 2027 guidance at 0.610-0.610 EPS. As a group, equities research analysts expect that Walmart Inc. will post 2.55 earnings per share for the current year.
Walmart Announces Dividend
The business also recently announced a quarterly dividend, which will be paid on Monday, January 4th. Shareholders of record on Friday, December 11th will be given a dividend of $0.2475 per share. This represents a $0.99 annualized dividend and a yield of 0.8%. The ex-dividend date of this dividend is Friday, December 11th. Walmart’s dividend payout ratio (DPR) is 36.13%.
Insiders Place Their Bets
In other news, EVP Donna Morris sold 76,181 shares of the business’s stock in a transaction on Tuesday, February 3rd. The stock was sold at an average price of $123.79, for a total value of $9,430,445.99. Following the completion of the transaction, the executive vice president directly owned 402,072 shares of the company’s stock, valued at approximately $49,772,492.88. The trade was a 15.93% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CEO C Douglas Mcmillon sold 19,416 shares of the company’s stock in a transaction on Friday, December 26th. The stock was sold at an average price of $111.83, for a total value of $2,171,291.28. Following the sale, the chief executive officer owned 4,315,333 shares of the company’s stock, valued at $482,583,689.39. This trade represents a 0.45% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last three months, insiders sold 278,278 shares of company stock worth $33,974,118. Insiders own 0.10% of the company’s stock.
Institutional Trading of Walmart
Institutional investors have recently modified their holdings of the company. Brighton Jones LLC lifted its position in Walmart by 28.8% during the fourth quarter. Brighton Jones LLC now owns 98,150 shares of the retailer’s stock valued at $8,868,000 after acquiring an additional 21,939 shares during the last quarter. Revolve Wealth Partners LLC grew its holdings in Walmart by 5.8% in the fourth quarter. Revolve Wealth Partners LLC now owns 8,849 shares of the retailer’s stock worth $800,000 after purchasing an additional 485 shares during the last quarter. Peterson Wealth Management increased its position in shares of Walmart by 3.5% during the first quarter. Peterson Wealth Management now owns 50,307 shares of the retailer’s stock worth $4,416,000 after purchasing an additional 1,715 shares in the last quarter. Sivia Capital Partners LLC lifted its holdings in shares of Walmart by 0.9% during the 2nd quarter. Sivia Capital Partners LLC now owns 13,008 shares of the retailer’s stock valued at $1,272,000 after purchasing an additional 116 shares during the last quarter. Finally, Schnieders Capital Management LLC. lifted its holdings in shares of Walmart by 1.2% during the 2nd quarter. Schnieders Capital Management LLC. now owns 91,341 shares of the retailer’s stock valued at $8,931,000 after purchasing an additional 1,048 shares during the last quarter. 26.76% of the stock is currently owned by institutional investors.
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.