Walmart (NASDAQ:WMT) Stock Price Down 2.7% – Here’s Why

Walmart Inc. (NASDAQ:WMT)’s stock price fell 2.7% on Thursday . The stock traded as low as $110.44 and last traded at $111.10. Approximately 28,254,440 shares changed hands during mid-day trading, an increase of 11% from the average session volume of 25,477,316 shares. The stock had previously closed at $114.22.

Analyst Upgrades and Downgrades

Several research firms recently issued reports on WMT. Freedom Capital raised shares of Walmart from a “strong sell” rating to a “hold” rating in a report on Thursday, May 21st. Evercore reaffirmed an “outperform” rating on shares of Walmart in a report on Monday, May 18th. Sanford C. Bernstein reiterated an “outperform” rating on shares of Walmart in a research report on Monday, June 8th. Weiss Ratings reissued a “buy (b)” rating on shares of Walmart in a research note on Friday, July 17th. Finally, Mizuho set a $130.00 price target on Walmart in a report on Monday. One research analyst has rated the stock with a Strong Buy rating, thirty-one have issued a Buy rating and four have assigned a Hold rating to the stock. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $138.65.

Walmart Stock Down 2.7%

The company has a debt-to-equity ratio of 0.42, a current ratio of 0.77 and a quick ratio of 0.23. The company has a market capitalization of $884.14 billion, a price-to-earnings ratio of 38.98, a price-to-earnings-growth ratio of 4.22 and a beta of 0.60. The firm’s 50-day simple moving average is $115.56 and its two-hundred day simple moving average is $122.03.

Walmart (NASDAQ:WMT) last posted its quarterly earnings results on Thursday, May 21st. The retailer reported $0.66 earnings per share (EPS) for the quarter, meeting analysts’ consensus estimates of $0.66. The company had revenue of $177.75 billion during the quarter, compared to the consensus estimate of $174.84 billion. Walmart had a net margin of 3.13% and a return on equity of 21.25%. The company’s revenue for the quarter was up 7.4% on a year-over-year basis. During the same period last year, the firm earned $0.61 EPS. Walmart has set its FY 2027 guidance at 2.750-2.850 EPS and its Q2 2027 guidance at 0.720-0.740 EPS. Sell-side analysts predict that Walmart Inc. will post 2.89 EPS for the current fiscal year.

Insider Activity at Walmart

In related news, EVP Christopher James Nicholas sold 2,900 shares of the stock in a transaction dated Thursday, June 18th. The shares were sold at an average price of $118.19, for a total value of $342,751.00. Following the sale, the executive vice president directly owned 574,953 shares of the company’s stock, valued at approximately $67,953,695.07. This represents a 0.50% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP David W. Guggina sold 11,978 shares of Walmart stock in a transaction dated Wednesday, June 10th. The stock was sold at an average price of $119.82, for a total transaction of $1,435,203.96. Following the transaction, the executive vice president owned 125,067 shares of the company’s stock, valued at approximately $14,985,527.94. The trade was a 8.74% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 67,729 shares of company stock valued at $8,124,931 in the last 90 days. 0.09% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently modified their holdings of WMT. Merkkuri Wealth Advisors LLC acquired a new position in shares of Walmart in the first quarter worth $29,000. Entrust Financial LLC purchased a new stake in shares of Walmart in the fourth quarter valued at $27,000. Bay Harbor Wealth Management LLC boosted its stake in shares of Walmart by 57.4% during the fourth quarter. Bay Harbor Wealth Management LLC now owns 288 shares of the retailer’s stock valued at $32,000 after acquiring an additional 105 shares during the last quarter. Clayton Financial Group LLC boosted its stake in shares of Walmart by 193.0% during the fourth quarter. Clayton Financial Group LLC now owns 293 shares of the retailer’s stock valued at $33,000 after acquiring an additional 193 shares during the last quarter. Finally, Sankala Group LLC purchased a new stake in Walmart during the 4th quarter worth about $33,000. 26.76% of the stock is owned by hedge funds and other institutional investors.

About Walmart

Walmart is a multinational retail corporation that operates a broad portfolio of store formats and digital services. Its core business includes large-format supercenters, discount department stores, neighborhood grocery stores and a membership warehouse chain, Sam’s Club. The company’s merchandising mix covers groceries, household goods, apparel, electronics and pharmacy services, supplemented by private-label products and category-specific offerings. Walmart pairs its physical store network with online platforms and mobile applications to provide omnichannel shopping, fulfillment and delivery options for consumers and businesses.

The company was founded by Sam Walton, who opened the first store in Rogers, Arkansas in 1962; it is headquartered in Bentonville, Arkansas.