Is Walmart Stock a Good Investment?
Walmart Investment Advice | WMT |
- Examine Walmart's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Walmart's leadership team and their track record. Good management can help Walmart navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Retail space and any emerging trends that could impact Walmart's business and its evolving consumer preferences.
- Compare Walmart's performance and market position to its competitors. Analyze how Walmart is positioned in terms of product offerings, innovation, and market share.
- Check if Walmart pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Walmart's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Walmart stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Walmart is a good investment.
Sell | Buy |
Strong Sell
Market Performance | Very Weak | Details | |
Volatility | Very steady | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Barely shadows the market | Details | |
Investor Sentiment | Impartial | Details | |
Analyst Consensus | Not Available | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unavailable | Details |
Examine Walmart Stock
Researching Walmart's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 46.0% of the company outstanding shares are owned by insiders. The company last dividend was issued on the 9th of May 2025. Walmart had 3:1 split on the 26th of February 2024.
To determine if Walmart is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Walmart's research are outlined below:
| Walmart has 60.11 B in debt with debt to equity (D/E) ratio of 0.81, which is OK given its current industry classification. Walmart has a current ratio of 0.85, suggesting that it has not enough short term capital to pay financial commitments when the payables are due. Note however, debt could still be an excellent tool for Walmart to invest in growth at high rates of return. | |
| About 46.0% of Walmart outstanding shares are owned by insiders | |
| On 7th of April 2025 Walmart paid $ 0.235 per share dividend to its current shareholders |
Walmart uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Walmart. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Walmart's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 20th of February 2024 Upcoming Quarterly Report | View | |
| 16th of May 2024 Next Financial Report | View | |
| 31st of January 2024 Next Fiscal Quarter End | View | |
| 20th of February 2024 Next Fiscal Year End | View | |
| 31st of October 2023 Last Quarter Report | View | |
| 31st of January 2023 Last Financial Announcement | View |
Walmart's market capitalization trends
The company currently falls under 'Mega-Cap' category with a total capitalization of 769.39 B.Walmart's profitablity analysis
The company has Net Profit Margin of 0.03 %, which implies that it may need a different competitive strategy as even a very small decline in it revenue may erase profits and result in a net loss. This is way below average. In the same way, it shows Net Operating Margin of 0.04 %, which entails that for every 100 dollars of revenue, it generated $0.04 of operating income.Determining Walmart's profitability involves analyzing its financial statements and using various financial metrics to determine if Walmart is a good buy. For example, gross profit margin measures Walmart's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Walmart's profitability and make more informed investment decisions.
Please note, the imprecision that can be found in Walmart's accounting process means that the reasonable investor should take a skeptical approach toward the financial statement analysis of Walmart. Check Walmart's Beneish M Score to see the likelihood of Walmart's management manipulating its earnings.
Basic technical analysis of Walmart Stock
As of the 4th of May, Walmart maintains the Downside Deviation of 2.5, market risk adjusted performance of 0.5333, and Mean Deviation of 1.67. Relative to fundamental indicators, the technical analysis model lets you check existing technical drivers of Walmart, as well as the relationship between them.Walmart's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Walmart insiders, such as employees or executives, is commonly permitted as long as it does not rely on Walmart's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Walmart insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Daniel Bartlett over three months ago Disposition of 35508 shares by Daniel Bartlett of Walmart at 98.65 subject to Rule 16b-3 | ||
C McMillon over three months ago Disposition of 29124 shares by C McMillon of Walmart at 92.6197 subject to Rule 16b-3 | ||
Christopher Nicholas over six months ago Disposition of tradable shares by Christopher Nicholas of Walmart at 76.03 subject to Rule 16b-3 | ||
Daniel Bartlett over six months ago Disposition of 755 shares by Daniel Bartlett of Walmart subject to Rule 16b-3 | ||
Walton Alice L over six months ago Disposition of 750000 shares by Walton Alice L of Walmart at 66.5224 subject to Rule 16b-3 | ||
Walton Jim C over six months ago Disposition of 40974 shares by Walton Jim C of Walmart at 66.7905 subject to Rule 16b-3 |
Walmart's Outstanding Corporate Bonds
Walmart issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Walmart uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Walmart bonds can be classified according to their maturity, which is the date when Walmart has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| WALMART INC 755 Corp BondUS931142BF98 | View | |
| WALMART INC 5875 Corp BondUS931142CH46 | View | |
| WALMART INC 525 Corp BondUS931142CB75 | View | |
| WALMART INC 62 Corp BondUS931142CM31 | View | |
| WALMART INC 65 Corp BondUS931142CK74 | View | |
| WALMART INC 5 Corp BondUS931142CY78 | View | |
| WALMART INC 4875 Corp BondUS931142CV30 | View | |
| WALMART INC 5625 Corp BondUS931142CS01 | View |
Understand Walmart's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Walmart's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.0159 | |||
| Market Risk Adjusted Performance | 0.5333 | |||
| Mean Deviation | 1.67 | |||
| Semi Deviation | 2.41 | |||
| Downside Deviation | 2.5 | |||
| Coefficient Of Variation | 12739.11 | |||
| Standard Deviation | 2.33 | |||
| Variance | 5.42 | |||
| Information Ratio | 0.0535 | |||
| Jensen Alpha | 0.0101 | |||
| Total Risk Alpha | 0.1721 | |||
| Sortino Ratio | 0.0498 | |||
| Treynor Ratio | 0.5233 | |||
| Maximum Drawdown | 12.51 | |||
| Value At Risk | (3.12) | |||
| Potential Upside | 2.64 | |||
| Downside Variance | 6.27 | |||
| Semi Variance | 5.8 | |||
| Expected Short fall | (1.55) | |||
| Skewness | 0.537 | |||
| Kurtosis | 4.05 |
| Risk Adjusted Performance | 0.0159 | |||
| Market Risk Adjusted Performance | 0.5333 | |||
| Mean Deviation | 1.67 | |||
| Semi Deviation | 2.41 | |||
| Downside Deviation | 2.5 | |||
| Coefficient Of Variation | 12739.11 | |||
| Standard Deviation | 2.33 | |||
| Variance | 5.42 | |||
| Information Ratio | 0.0535 | |||
| Jensen Alpha | 0.0101 | |||
| Total Risk Alpha | 0.1721 | |||
| Sortino Ratio | 0.0498 | |||
| Treynor Ratio | 0.5233 | |||
| Maximum Drawdown | 12.51 | |||
| Value At Risk | (3.12) | |||
| Potential Upside | 2.64 | |||
| Downside Variance | 6.27 | |||
| Semi Variance | 5.8 | |||
| Expected Short fall | (1.55) | |||
| Skewness | 0.537 | |||
| Kurtosis | 4.05 |
Consider Walmart's intraday indicators
Walmart intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Walmart stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Walmart time-series forecasting models is one of many Walmart's stock analysis techniques aimed to predict future share value based on previously observed values. Time-series forecasting models ae widely used for non-stationary data. Non-stationary data are called the data whose statistical properties e.g. the mean and standard deviation are not constant over time but instead, these metrics vary over time. These non-stationary Walmart's historical data is usually called time-series. Some empirical experimentation suggests that the statistical forecasting models outperform the models based exclusively on fundamental analysis to predict the direction of the market movement and maximize returns from investment trading.
Walmart Stock media impact
There is far too much social signal, news, headlines, and media speculation about Walmart that are available to investors today. This information is accessible both publicly - through Walmart's media outlets and privately, via word of mouth or internal channels. However, regardless of the source, the sheer volume of Walmart-related data is difficult to distill into actionable insights, especially for investors who are not well-versed in the rapidly evolving tools and techniques of investment management.
A primary focus of Walmart news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Walmart relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Walmart's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Walmart alpha.
Walmart Corporate Directors
| Sarah Friar | Independent Director | Profile | |
| Randall Stephenson | Independent Director | Profile | |
| Steven Reinemund | Independent Director | Profile | |
| Cesar Conde | Independent Director | Profile |
Already Invested in Walmart?
The danger of trading Walmart is mainly related to its market volatility and Company specific events. As an investor, you must understand the concept of risk-adjusted return before you start trading. The most common way to measure the risk of Walmart is by using the Sharpe ratio. The ratio expresses how much excess return you acquire for the extra volatility you endure for holding a more risker asset than Walmart. The Sharpe ratio is calculated by using standard deviation and excess return to determine reward per unit of risk. To understand how volatile Walmart is, you must compare it to a benchmark. Traditionally, the risk-free rate of return is the rate of return on the shortest-dated U.S. Treasury, such as a 3-year bond.
Additional Tools for Walmart Stock Analysis
When running Walmart's price analysis, check to measure Walmart's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Walmart is operating at the current time. Most of Walmart's value examination focuses on studying past and present price action to predict the probability of Walmart's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Walmart's price. Additionally, you may evaluate how the addition of Walmart to your portfolios can decrease your overall portfolio volatility.