Walmart (WMT) closed the most recent trading day at $116.01, moving +2.43% from the previous trading session. The stock exceeded the S&P 500, which registered a gain of 0.26% for the day. At the same time, the Dow lost 0.04%, and the tech-heavy Nasdaq gained 0.54%.
The world's largest retailer's shares have seen a decrease of 0.39% over the last month, not keeping up with the Retail-Wholesale sector's gain of 5.63% and the S&P 500's gain of 2.13%.
Analysts and investors alike will be keeping a close eye on the performance of Walmart in its upcoming earnings disclosure. The company's earnings report is set to go public on August 20, 2026. It is anticipated that the company will report an EPS of $0.73, marking a 7.35% rise compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $186.32 billion, showing a 5.03% escalation compared to the year-ago quarter.
WMT's full-year Zacks Consensus Estimates are calling for earnings of $2.88 per share and revenue of $750.17 billion. These results would represent year-over-year changes of +9.09% and +5.19%, respectively.
It's also important for investors to be aware of any recent modifications to analyst estimates for Walmart. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.14% lower within the past month. Walmart is currently a Zacks Rank #4 (Sell).
From a valuation perspective, Walmart is currently exchanging hands at a Forward P/E ratio of 39.26. This expresses a premium compared to the average Forward P/E of 14.38 of its industry.
It's also important to note that WMT currently trades at a PEG ratio of 4.23. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. As the market closed yesterday, the Retail - Supermarkets industry was having an average PEG ratio of 2.07.
The Retail - Supermarkets industry is part of the Retail-Wholesale sector. With its current Zacks Industry Rank of 210, this industry ranks in the bottom 15% of all industries, numbering over 250.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
Beyond Nvidia: AI's Second Wave Is Here
The AI revolution has already minted millionaires. But the stocks everyone knows about aren't likely to keep delivering the biggest profits. AI’s second wave is moving from infrastructure to implementation and these companies are at the forefront of this transition, positioned to become what Amazon and Google were to the internet era.
See Stocks Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Walmart Inc. (WMT): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
