Mizuho lifts Walmart stock price target to $115 from $105

Monday, Mizuho (NYSE:MFG) analysts raised the price target on Walmart Inc. (NYSE:WMT) shares to $115 from the previous $105, while reiterating an Outperform rating on the stock. This aligns with the broader Wall Street sentiment, as InvestingPro data shows 19 analysts have recently revised their earnings estimates upward, with analyst targets ranging from $64 to $120. The firm’s analyst highlighted Walmart’s successful transformation into a technology-driven company, emphasizing its rapid delivery capabilities and expected volume increases.

Walmart is now projected to achieve annual U.S. eCommerce sales surpassing $100 billion, positioning it as the second-largest online retailer in the United States, trailing only Amazon (NASDAQ:AMZN). This milestone would account for nearly 10% of all domestic online sales. The company’s total revenue reached $685 billion in the last twelve months, with a steady growth rate of 4.2%.

The first quarter results demonstrated that profitability in Walmart’s eCommerce sector is on the rise, with both U.S. and global online operations reporting positive outcomes. This includes gains from advertising and the development of an early-stage marketplace model.

The analyst’s commentary underscored Walmart’s evolving business model, considering it through "a new lens" as one of the more dominant digital players in a highly competitive market. The firm foresees a pathway for Walmart to reach over $4 in earnings per share, driven by the growth of advertising, marketplace, and membership components, which are seen as high growth and highly accretive to the company’s financials.

The positive outlook on Walmart’s stock reflects the company’s strategic initiatives and its growing influence in the digital retail space. According to InvestingPro analysis, Walmart maintains a "GOOD" financial health score, though current valuations suggest the stock may be trading above its Fair Value. For deeper insights into Walmart’s valuation and growth prospects, investors can access the comprehensive Pro Research Report, available exclusively on InvestingPro, which covers this and 1,400+ other top US stocks.

In other recent news, Walmart Inc. has announced plans to reduce its workforce by approximately 1,500 positions as part of a restructuring effort aimed at streamlining expenses and speeding up decision-making processes. This move will affect various sectors, including global technology operations and e-commerce fulfillment. Meanwhile, the company has reported robust financial performance, with first-quarter earnings per share and comparable sales exceeding expectations, as noted by KeyBanc Capital Markets, which maintained an Overweight rating with a $105 price target. Walmart’s ongoing market share expansion in the grocery sector has contributed to its sustained dominance, and the company’s management has reaffirmed full-year sales and operating income guidance despite potential volatility from tariffs.

Additionally, Walmart’s recent annual shareholders’ meeting resulted in the approval of several key proposals, including the election of 12 director nominees and the ratification of Ernst & Young LLP as independent accountants. The company reported revenues of $681 billion for fiscal year 2025. In terms of analyst perspectives, Guggenheim Securities raised Walmart’s price target to $112, maintaining a Buy rating, citing the company’s strategic focus on technological advancements. Similarly, Bernstein reiterated an Outperform rating with a $108 target, highlighting Walmart’s omni-channel retail strategy and international growth targets.

Walmart International CEO Kathryn McLay emphasized the company’s goal of reaching $200 billion in Gross Merchandise Value by 2028, with a focus on high-growth markets like India, China, and Mexico. The firm’s efforts to adapt its Every Day Low Price strategy to local markets are seen as pivotal in driving global strategy. These developments underscore Walmart’s commitment to innovation and strategic growth in an evolving retail landscape.

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