Walmart (WMT) AI Stock Analysis

• Market Cap: $761.25B
• Dividend Yield: 0.99%
• Average Volume (3M): 15.44M
• Price to Earnings (P/E): 40.9
• Beta (1Y): 0.66
• Revenue Growth: 4.22%
• EPS Growth: -0.17%
• Country: US
• Employees: 2,100,000
• Sector: Consumer Defensive
• Sector Strength: 56
• Industry: Discount Stores
• EPS (TTM): 0.61
• Shares Outstanding: 7,980,418,000
• 10 Day Avg. Volume: 12,141,633
• 30 Day Avg. Volume: 15,439,333
• PEG Ratio: -14.01
• Price to Book (P/B): 9.14
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 56.45
• Enterprise Value/Market Cap: 1.08
• Enterprise Value/Revenue: 0.30
• Enterprise Value/Gross Profit: 4.81
• Enterprise Value/Ebitda: 5.39
• 1Y Price Target: $111.33
• Price Target Upside: 17.08% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 28

• Rating: 74 Outperform
• Price Target: $106.00 ▲(11.47%Upside)

Walmart's stock score is primarily driven by its robust financial performance and strong earnings call highlights. While technical indicators suggest stability, the high P/E ratio reflects a premium valuation, which could limit upside potential. Strategic initiatives and eCommerce growth are significant positives, positioning Walmart well for future growth.

Positive Factors

Digital Transformation

WMT’s ability to drive growth and profitability through digital transformation, membership expansion, and disciplined execution enables it to navigate industry and economic headwinds.

Market Share

WMT's dominant position as the world’s largest retailer, cost advantages, and powerful technology-driven omnichannel infrastructure will drive sustainable market share gains, revenue and cash flow growth.

Profitability Contributions

The scaling of advertising and third-party marketplace is expected to provide significant profitability contributions to Walmart's US segment.

Negative Factors

E-commerce Losses

Walmart is currently under-earning due to e-commerce losses, but improvements are expected in the coming years.

Operating Margin Pressures

Walmart is expected to see growth in higher-margin general merchandise categories, which will contribute to operating margin expansion, but current pressures remain.

Walmart Business Overview & Revenue Model

Company Description

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. The company offers grocery and consumables, including dairy, meat, bakery, deli, produce, dry, chilled or frozen packaged foods, alcoholic and nonalcoholic beverages, floral, snack foods, candy, other grocery items, health and beauty aids, paper goods, laundry and home care, baby care, pet supplies, and other consumable items; fuel, tobacco and other categories. It is also involved in the provision of health and wellness products covering pharmacy, optical and hearing services, and over-the-counter drugs and other medical products; and home and apparel including home improvement, outdoor living, gardening, furniture, apparel, jewelry, tools and power equipment, housewares, toys, seasonal items, mattresses and tire and battery centers. In addition, the company offers consumer electronics and accessories, software, video games, office supplies, appliances, and third-party gift cards. Further, it operates digital payment platforms; and offers financial services and related products, including money transfers, bill payments, money orders, check cashing, prepaid access, co-branded credit cards, installment lending, and earned wage access. Additionally, the company markets lines of merchandise under private brands, including Allswell, Athletic Works, Equate, and Free Assembly. The company was formerly known as Wal-Mart Stores, Inc. and changed its name to Walmart Inc. in February 2018. Walmart Inc. was founded in 1945 and is based in Bentonville, Arkansas.

How the Company Makes Money

Walmart makes money primarily through its retail operations, which consist of selling a diverse range of products in its physical stores and via its online platforms. Key revenue streams include grocery sales, general merchandise, and health and wellness products. Walmart's revenue model is supported by its extensive supply chain, economies of scale, and strategic pricing. Additionally, the company's financial services, membership programs such as Walmart+, and advertising services contribute to its earnings. Partnerships with suppliers, technology investments, and international operations also play significant roles in enhancing Walmart's revenue and market reach.

Walmart Financial Statement Overview

Summary

Walmart shows strong revenue and profit growth, supported by efficient operations and effective cost management. The balance sheet is robust, but rising liabilities require attention. Cash flow is strong, underscored by consistent operating cash flow increases.

Income Statement

Walmart demonstrates strong revenue growth with a TTM revenue of $685.1B, showing a steady increase from previous years. Gross profit margin and net profit margin remain stable, indicating efficient cost management. The EBIT and EBITDA margins are solid, reflecting strong operational performance. However, the growth rate of these margins is moderate, suggesting potential areas for improvement.

Balance Sheet

The balance sheet is robust with a healthy equity ratio and controlled leverage. The debt-to-equity ratio is manageable, showing disciplined financial management. Return on equity is strong, indicating effective use of shareholder funds. However, the total liabilities have increased, which requires monitoring to maintain financial stability.

Cash Flow

Walmart's cash flow position is strong. Operating cash flow has consistently increased, supporting ongoing operations and investments. Free cash flow growth is healthy, although capital expenditures have also risen. The operating cash flow to net income ratio indicates good cash conversion efficiency, supporting overall liquidity.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	680.99B	648.13B	611.29B	572.75B	559.15B
Gross Profit	169.23B	157.98B	147.57B	143.75B	138.84B
EBITDA	29.35B	38.87B	30.09B	36.60B	34.03B
Net Income	19.44B	15.51B	11.68B	13.67B	13.51B
Balance Sheet
Total Assets	260.82B	252.40B	243.20B	244.86B	252.50B
Cash, Cash Equivalents and Short-Term Investments	9.04B	9.87B	8.63B	14.76B	17.74B
Total Debt	60.11B	61.32B	58.92B	57.32B	63.25B
Total Liabilities	163.13B	161.83B	159.21B	152.97B	164.97B
Stockholders Equity	91.01B	83.86B	76.69B	83.25B	80.92B
Cash Flow
Free Cash Flow	12.66B	15.12B	11.98B	11.07B	25.81B
Operating Cash Flow	36.44B	35.73B	28.84B	24.18B	36.07B
Investing Cash Flow	-21.38B	-21.29B	-17.72B	-6.01B	-10.07B
Financing Cash Flow	-14.82B	-13.41B	-16.21B	-22.83B	-16.12B

Walmart Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 95.09
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For WMT, the sentiment is Neutral. The current price of 95.09 is below the 20-day moving average (MA) of 96.68, below the 50-day MA of 96.93, and above the 200-day MA of 91.68, indicating a neutral trend. The MACD of -0.38 indicates Positive momentum. The RSI at 43.69 is Neutral, neither overbought nor oversold. The STOCH value of 19.14 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for WMT.

Walmart Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DG	77 Outperform	$24.77B	20.83	15.69%	2.10%	4.77%	-23.73%
WMT	74 Outperform	$761.25B	40.92	22.80%	0.99%	4.22%	-0.17%
KR	73 Outperform	$47.54B	19.63	24.06%	1.78%	-2.11%	25.03%
COST	71 Outperform	$429.14B	54.89	32.08%	0.55%	5.94%	9.31%
Sector *	70 Neutral	€2.74B	17.13	8.89%	3.58%	5.47%	-7.07%
TGT	66 Neutral	$46.44B	11.23	29.08%	4.42%	-0.69%	2.03%
DLTR	60 Neutral	$22.24B	―	19.25%	―	-20.46%	-202.26%

Walmart Corporate Events

Walmart Concludes Annual Shareholders’ Meeting with Key Decisions

On June 5, 2025, Walmart Inc. held its Annual Shareholders’ Meeting where shareholders elected all twelve nominated directors for one-year terms. They also approved the ratification of Ernst & Young LLP as independent accountants, the executive compensation plan, and the Walmart Inc. Stock Incentive Plan of 2025. However, several shareholder proposals, including those related to law enforcement information requests, plastic packaging policies, racial equity audits, and health and safety governance, were rejected.

The most recent analyst rating on (WMT) stock is a Buy with a $115.00 price target. To see the full list of analyst forecasts on Walmart stock, see the WMT Stock Forecast page.

Walmart Reports Strong Q1 2025 Financial Results

On May 15, 2025, Walmart announced its first-quarter results, highlighting a revenue growth of 2.5% and an operating income increase of 4.3%. The company reported a 22% rise in global eCommerce sales and issued guidance for the second quarter with expected net sales growth of 3.5% to 4.5%. Walmart also moved its corporate headquarters to 1 Customer Drive, Bentonville, AR, reflecting its strategic initiatives to adapt to a dynamic market environment and continue its long-term growth investments.

The most recent analyst rating on (WMT) stock is a Buy with a $100.00 price target. To see the full list of analyst forecasts on Walmart stock, see the WMT Stock Forecast page.