Walmart (NYSE:WMT) Stock Price Up 4.2% Following Earnings Beat

Walmart Inc. (NYSE:WMT - Get Free Report)'s stock price shot up 4.2% during trading on Tuesday following a stronger than expected earnings report. The company traded as high as $88.29 and last traded at $87.57. 17,300,377 shares were traded during mid-day trading, an increase of 3% from the average session volume of 16,738,156 shares. The stock had previously closed at $84.08.

The retailer reported $0.58 earnings per share for the quarter, beating the consensus estimate of $0.53 by $0.05. The company had revenue of $169.59 billion during the quarter, compared to the consensus estimate of $167.69 billion. Walmart had a net margin of 2.34% and a return on equity of 21.72%. Walmart's revenue was up 5.5% compared to the same quarter last year. During the same period last year, the firm earned $0.51 earnings per share.

Analyst Ratings Changes

A number of equities research analysts have commented on the company. The Goldman Sachs Group increased their price target on Walmart from $73.00 to $81.00 and gave the company a "buy" rating in a research note on Friday, August 16th. JPMorgan Chase & Co. increased their price objective on shares of Walmart from $81.00 to $83.00 and gave the company an "overweight" rating in a research report on Friday, August 16th. DA Davidson boosted their target price on shares of Walmart from $75.00 to $85.00 and gave the stock a "buy" rating in a research report on Friday, August 16th. Telsey Advisory Group upped their price target on shares of Walmart from $92.00 to $100.00 and gave the company an "outperform" rating in a research note on Tuesday. Finally, Guggenheim lifted their price objective on shares of Walmart from $81.00 to $90.00 and gave the stock a "buy" rating in a research note on Monday, October 28th. One equities research analyst has rated the stock with a hold rating, twenty-eight have assigned a buy rating and two have issued a strong buy rating to the stock. According to MarketBeat.com, the company presently has an average rating of "Buy" and an average target price of $86.98.

Insider Activity

In related news, major shareholder Alice L. Walton sold 2,375,563 shares of the firm's stock in a transaction dated Thursday, September 5th. The shares were sold at an average price of $76.96, for a total value of $182,823,328.48. Following the transaction, the insider now directly owns 619,646,544 shares of the company's stock, valued at approximately $47,687,998,026.24. This trade represents a 0.38 % decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, major shareholder S Robson Walton sold 4,057,369 shares of the stock in a transaction that occurred on Monday, September 9th. The shares were sold at an average price of $77.20, for a total value of $313,228,886.80. Following the transaction, the insider now directly owns 611,988,318 shares of the company's stock, valued at $47,245,498,149.60. The trade was a 0.66 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 12,337,337 shares of company stock worth $958,823,647 in the last quarter. Corporate insiders own 45.58% of the company's stock.

Institutional Investors Weigh In On Walmart

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Price T Rowe Associates Inc. MD grew its stake in Walmart by 181.0% during the 1st quarter. Price T Rowe Associates Inc. MD now owns 56,861,234 shares of the retailer's stock valued at $3,421,342,000 after acquiring an additional 36,625,314 shares in the last quarter. Jennison Associates LLC grew its holdings in Walmart by 479.6% in the 3rd quarter. Jennison Associates LLC now owns 18,479,259 shares of the retailer's stock valued at $1,492,200,000 after buying an additional 15,290,936 shares in the last quarter. Canada Pension Plan Investment Board increased its stake in shares of Walmart by 284.0% in the 1st quarter. Canada Pension Plan Investment Board now owns 11,122,273 shares of the retailer's stock worth $669,227,000 after acquiring an additional 8,225,552 shares during the last quarter. FMR LLC raised its holdings in shares of Walmart by 12.9% during the 3rd quarter. FMR LLC now owns 63,135,639 shares of the retailer's stock worth $5,098,203,000 after acquiring an additional 7,200,004 shares during the period. Finally, International Assets Investment Management LLC boosted its position in shares of Walmart by 8,814.4% during the 3rd quarter. International Assets Investment Management LLC now owns 6,963,218 shares of the retailer's stock valued at $562,280,000 after acquiring an additional 6,885,106 shares during the last quarter. Institutional investors and hedge funds own 26.76% of the company's stock.

Walmart Price Performance

The stock has a market cap of $696.11 billion, a PE ratio of 45.10, a price-to-earnings-growth ratio of 4.20 and a beta of 0.51. The stock's fifty day moving average is $81.58 and its 200-day moving average is $73.34. The company has a debt-to-equity ratio of 0.46, a current ratio of 0.80 and a quick ratio of 0.22.

Walmart Company Profile

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.