Walmart (NASDAQ:WMT) Stock Jumps 3.5% – Time to Buy?

Shares of Walmart Inc. (NASDAQ:WMT) were up 3.5% during trading on Wednesday. The stock traded as high as $130.94 and last traded at $129.17. 29,167,069 shares traded hands during mid-day trading, an increase of 18% from the average daily volume of 24,816,875 shares. The stock had previously closed at $124.86.

Walmart News Summary

Here are the key news stories impacting Walmart this week:

• Positive Sentiment: ETFs added a net $40.3 million of Walmart shares on Nov. 4, indicating institutional fund demand. 54 ETFs Add to Walmart (WMT) on Wednesday
• Positive Sentiment: Walmart is expanding its drone-delivery partnership with Zipline, which has raised $1.5 billion at a $21.5 billion valuation. A broader partnership could help Walmart improve delivery capabilities, though the articles do not specify its financial impact. Zipline hits $21.5B valuation as Walmart expands bet on drone delivery
• Positive Sentiment: Walmart is working with Meta to integrate its Muse AI shopping agent into the online shopping experience, a move that could create new ways to reach customers and facilitate purchases. What Is Walmart (WMT) Betting On With Its New AI Shopping Agent?
• Neutral Sentiment: A report on potential rate hikes discusses consumer-staples stocks as potentially attractive in that environment. Higher rates may also pressure valuations, so the implication for Walmart is mixed. Rate Hikes Could Be Coming: History Likes These 4 Consumer Staples Stocks
• Negative Sentiment: Walmart executive Suresh Kumar sold 166,342 shares. Insider sales can weigh on sentiment, although a sale alone does not establish a change in the company’s outlook. Walmart Stock: Insider Suresh Kumar Sells 166,342 Shares

Analysts Set New Price Targets

Several analysts recently commented on WMT shares. Freedom Capital upgraded shares of Walmart from a “hold” rating to a “strong-buy” rating in a research report on Thursday, August 20th. Telsey Advisory Group reiterated an “outperform” rating and issued a $130.00 price objective (down from $140.00) on shares of Walmart in a research report on Friday, August 21st. Cantor Fitzgerald raised shares of Walmart to a “buy” rating in a research note on Friday, August 21st. The Goldman Sachs Group raised their target price on Walmart from $130.00 to $132.00 and gave the company a “buy” rating in a research report on Tuesday, September 8th. Finally, Wolfe Research restated an “outperform” rating and issued a $115.00 price target (down from $130.00) on shares of Walmart in a research note on Friday, August 21st. Three equities research analysts have rated the stock with a Strong Buy rating, thirty-nine have given a Buy rating and two have assigned a Hold rating to the stock. According to MarketBeat, Walmart presently has a consensus rating of “Buy” and an average price target of $129.62.

Walmart Price Performance

The stock has a market capitalization of $995.84 billion, a price-to-earnings ratio of 45.31, a PEG ratio of 4.67 and a beta of 0.53. The company has a debt-to-equity ratio of 0.41, a quick ratio of 0.23 and a current ratio of 0.77. The company has a 50 day moving average of $112.48 and a 200 day moving average of $118.59.

Walmart (NASDAQ:WMT) last released its quarterly earnings data on Thursday, August 20th. The retailer reported $0.81 earnings per share for the quarter, topping analysts’ consensus estimates of $0.74 by $0.07. Walmart had a net margin of 3.00% and a return on equity of 21.83%. The company had revenue of $187.94 billion for the quarter, compared to analysts’ expectations of $186.64 billion. During the same quarter last year, the company earned $0.68 earnings per share. The firm’s revenue for the quarter was up 5.9% on a year-over-year basis. Walmart has set its Q3 2027 guidance at 0.620-0.640 EPS and its FY 2027 guidance at 2.800-2.870 EPS. As a group, equities research analysts anticipate that Walmart Inc. will post 2.88 EPS for the current year.

Insiders Place Their Bets

In other news, CTO Suresh Kumar sold 166,342 shares of Walmart stock in a transaction that occurred on Friday, October 30th. The shares were sold at an average price of $123.21, for a total value of $20,494,997.82. Following the transaction, the chief technology officer directly owned 1,632,223 shares of the company’s stock, valued at $201,106,195.83. This trade represents a 9.25% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Latriece Watkins sold 5,000 shares of the business’s stock in a transaction on Wednesday, October 14th. The shares were sold at an average price of $115.00, for a total transaction of $575,000.00. Following the transaction, the executive vice president owned 110,432 shares in the company, valued at approximately $12,699,680. This represents a 4.33% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders sold 268,222 shares of company stock valued at $31,604,051. 0.09% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of the company. Montgomery Financial Services LLC purchased a new position in Walmart in the 2nd quarter valued at approximately $32,000. Turim 21 Investimentos Ltda. bought a new position in shares of Walmart during the second quarter valued at $34,000. PMV Capital Advisers LLC bought a new position in Walmart during the second quarter valued at approximately $34,000. Pingora Partners LLC bought a new stake in shares of Walmart during the 2nd quarter valued at $34,000. Finally, Team Financial Group LLC bought a new stake in Walmart during the third quarter valued at about $40,000. 26.76% of the stock is owned by institutional investors.

About Walmart

Walmart is a multinational retailer that operates discount stores, supercenters, neighborhood markets, and membership warehouse clubs. Its business includes Walmart U.S., Walmart International, and Sam’s Club.

The company sells groceries and a broad range of general merchandise, including apparel, electronics, household goods, and health and wellness products. Walmart also serves customers through e-commerce, with services such as order pickup and delivery.

Founded by Sam Walton in 1962, Walmart is headquartered in Bentonville, Arkansas.