Walmart (NYSE:WMT) Trading 4.2% Higher on Better-Than-Expected Earnings

Walmart Inc. (NYSE:WMT)’s share price traded up 4.2% on Tuesday after the company announced better than expected quarterly earnings. The stock traded as high as $88.29 and last traded at $87.57. 17,300,377 shares changed hands during trading, an increase of 3% from the average session volume of 16,738,156 shares. The stock had previously closed at $84.08.

The retailer reported $0.58 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.53 by $0.05. The business had revenue of $169.59 billion for the quarter, compared to analysts’ expectations of $167.69 billion. Walmart had a return on equity of 21.72% and a net margin of 2.34%. The business’s revenue for the quarter was up 5.5% on a year-over-year basis. During the same quarter last year, the firm earned $0.51 EPS.

Wall Street Analysts Forecast Growth

Several research analysts recently weighed in on the company. Melius Research assumed coverage on Walmart in a research note on Monday, September 23rd. They set a “buy” rating and a $95.00 target price on the stock. Piper Sandler boosted their target price on shares of Walmart from $83.00 to $93.00 and gave the stock an “overweight” rating in a research report on Monday. Telsey Advisory Group boosted their price objective on shares of Walmart from $92.00 to $100.00 and gave the company an “outperform” rating in a report on Tuesday. Truist Financial boosted their price target on Walmart from $89.00 to $98.00 and gave the company a “buy” rating in a research note on Wednesday. Finally, Deutsche Bank Aktiengesellschaft upped their price objective on shares of Walmart from $77.00 to $83.00 and gave the company a “buy” rating in a report on Friday, August 16th. One analyst has rated the stock with a hold rating, twenty-nine have assigned a buy rating and one has issued a strong buy rating to the company. According to MarketBeat, the company has an average rating of “Buy” and an average target price of $91.51.

Insider Activity at Walmart

In related news, CEO C Douglas Mcmillon sold 29,124 shares of the business’s stock in a transaction that occurred on Thursday, September 26th. The shares were sold at an average price of $80.64, for a total value of $2,348,559.36. Following the completion of the transaction, the chief executive officer now owns 3,873,053 shares in the company, valued at $312,322,993.92. The trade was a 0.75 % decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, EVP John D. Rainey sold 3,000 shares of Walmart stock in a transaction dated Tuesday, September 3rd. The stock was sold at an average price of $77.48, for a total value of $232,440.00. Following the completion of the sale, the executive vice president now owns 384,165 shares of the company’s stock, valued at approximately $29,765,104.20. The trade was a 0.77 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 12,337,337 shares of company stock worth $958,823,647 in the last 90 days. 45.58% of the stock is owned by company insiders.

Hedge Funds Weigh In On Walmart

Several institutional investors and hedge funds have recently made changes to their positions in the company. EntryPoint Capital LLC acquired a new position in Walmart during the first quarter valued at approximately $25,000. Peterson Financial Group Inc. bought a new position in shares of Walmart during the third quarter worth approximately $26,000. TruNorth Capital Management LLC lifted its holdings in shares of Walmart by 138.3% during the second quarter. TruNorth Capital Management LLC now owns 429 shares of the retailer’s stock worth $29,000 after buying an additional 249 shares in the last quarter. Cultivar Capital Inc. acquired a new stake in Walmart in the 2nd quarter worth about $29,000. Finally, FSA Wealth Management LLC raised its holdings in Walmart by 253.0% in the 1st quarter. FSA Wealth Management LLC now owns 526 shares of the retailer’s stock valued at $32,000 after acquiring an additional 377 shares in the last quarter. Institutional investors and hedge funds own 26.76% of the company’s stock.

Walmart Stock Up 0.7 %

The company has a current ratio of 0.80, a quick ratio of 0.22 and a debt-to-equity ratio of 0.46. The company has a market capitalization of $700.77 billion, a price-to-earnings ratio of 45.33, a PEG ratio of 4.19 and a beta of 0.51. The firm’s 50-day moving average price is $81.75 and its 200 day moving average price is $73.43.

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.