Telsey Advisory Group has reaffirmed its “outperform” rating for Walmart Inc. (NYSE:WMT), maintaining a price target of $115.00 per share. This rating, announced in a note to investors on Thursday, indicates a potential upside of 15.05% from Walmart’s current trading price. The retailer’s stock opened at $99.96 on the same day, reflecting a slight decline of 0.9%.
Multiple analysts have provided positive assessments of Walmart’s stock. For instance, on May 16, DA Davidson reiterated a “buy” rating with a price target of $117.00. Similarly, Evercore ISI increased its target from $107.00 to $108.00, also assigning an “outperform” rating. On May 12, Wall Street Zen upgraded Walmart from a “hold” to a “buy” rating. Mizuho raised its price target to $115.00, while KeyCorp set its target at $110.00, reflecting a growing consensus among analysts.
As of now, out of the analysts covering Walmart, one has issued a hold rating, thirty-one have assigned a buy rating, and one has given a strong buy rating. According to MarketBeat data, Walmart currently holds a consensus rating of “Buy” with an average target price of $107.47.
Walmart’s Financial Performance and Market Position
Walmart recently reported its quarterly earnings on May 15, 2024, revealing an earnings per share (EPS) of $0.61, exceeding analysts’ expectations of $0.58. The company recorded revenue of $165.61 billion for the quarter, surpassing estimates of $164.53 billion. This represents a 2.5% increase in revenue compared to the same quarter last year, when the retailer reported an EPS of $0.60.
The company maintains a strong position in the market, with a market capitalization of $797.72 billion. Walmart’s stock has shown resilience, with a 50-day moving average of $97.60 and a 200-day moving average of $95.59. The stock has fluctuated between a one-year low of $72.52 and a high of $105.30. Walmart’s return on equity stands at 21.76%, with a net margin of 2.75%.
Recent Insider Activity and Institutional Investments
In recent developments, insider trading activity has been notable. On July 15, Daniel J. Bartlett, Executive Vice President, sold 1,744 shares at an average price of $95.60, amounting to a total transaction of $166,726.40. Following this sale, Bartlett held 649,233 shares, valued at approximately $62.07 million. Similarly, on August 1, another Executive Vice President, John D. Rainey, sold 2,200 shares at an average price of $98.30, totaling $216,260.00.
Recent activity among institutional investors has also been significant. Access Investment Management LLC acquired a new stake in Walmart valued at approximately $26,000 during the second quarter. Other firms, such as Operose Advisors LLC and PFS Partners LLC, have significantly increased their holdings, indicating strong institutional confidence in Walmart’s future prospects.
Hedge funds and institutional investors collectively own 26.76% of Walmart’s shares, highlighting the stock’s appeal among larger investment entities.
Walmart continues to be a major player in the retail industry, operating through segments including Walmart U.S., Walmart International, and Sam’s Club. The company’s diverse operations encompass supercenters, discount stores, and eCommerce platforms, positioning it well for future growth in an evolving market landscape.
