Back to top

Image: Bigstock

Walmart (WMT) Outpaces Stock Market Gains: What You Should Know

Read MoreHide Full Article

In the latest close session, Walmart (WMT - Free Report) was up +1.3% at $97.27. The stock's change was more than the S&P 500's daily gain of 0.52%. At the same time, the Dow added 1%, and the tech-heavy Nasdaq gained 0.52%.

Shares of the world's largest retailer have depreciated by 1.11% over the course of the past month, underperforming the Retail-Wholesale sector's gain of 2.37%, and the S&P 500's gain of 5.95%.

Investors will be eagerly watching for the performance of Walmart in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on August 21, 2025. The company is forecasted to report an EPS of $0.72, showcasing a 7.46% upward movement from the corresponding quarter of the prior year. Simultaneously, our latest consensus estimate expects the revenue to be $175.32 billion, showing a 3.53% escalation compared to the year-ago quarter.

For the full year, the Zacks Consensus Estimates project earnings of $2.59 per share and a revenue of $703.91 billion, demonstrating changes of +3.19% and +3.37%, respectively, from the preceding year.

Investors should also take note of any recent adjustments to analyst estimates for Walmart. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As such, positive estimate revisions reflect analyst optimism about the business and profitability.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Within the past 30 days, our consensus EPS projection remained stagnant. As of now, Walmart holds a Zacks Rank of #3 (Hold).

Digging into valuation, Walmart currently has a Forward P/E ratio of 37.01. This represents a premium compared to its industry average Forward P/E of 15.18.

Also, we should mention that WMT has a PEG ratio of 4.69. 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 of the close of trade yesterday, the Retail - Supermarkets industry held an average PEG ratio of 1.86.

The Retail - Supermarkets industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 178, finds itself in the bottom 28% echelons of all 250+ industries.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Walmart Inc. (WMT) - free report >>

Published in