Walmart (WMT - Free Report) closed at $97.13 in the latest trading session, marking a -0.08% move from the prior day. This change lagged the S&P 500's 0.36% gain on the day. Meanwhile, the Dow gained 0.36%, and the Nasdaq, a tech-heavy index, added 0.34%.
Prior to today's trading, shares of the world's largest retailer had lost 0.92% over the past month. This has lagged the Retail-Wholesale sector's gain of 1.5% and the S&P 500's gain of 0.64% in that time.
WMT will be looking to display strength as it nears its next earnings release. In that report, analysts expect WMT to post earnings of $1.02 per share. This would mark a year-over-year decline of 10.53%. Meanwhile, our latest consensus estimate is calling for revenue of $125.24 billion, up 2.08% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $4.75 per share and revenue of $528.21 billion. These totals would mark changes of -3.26% and +2.68%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for WMT. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.03% lower. WMT currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that WMT has a Forward P/E ratio of 20.45 right now. Its industry sports an average Forward P/E of 14.75, so we one might conclude that WMT is trading at a premium comparatively.
Meanwhile, WMT's PEG ratio is currently 4.47. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Retail - Supermarkets was holding an average PEG ratio of 1.38 at yesterday's closing price.
The Retail - Supermarkets industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 33, putting it in the top 13% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.