Walmart shares hold steady rating and stock target on growth momentum

Published 16/08/2024, 14:58
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On Friday, KeyBanc maintained a positive outlook on shares of Walmart Inc. (NYSE:WMT), reiterating an Overweight rating and a $82.00 price target for the retail giant's stock. The firm's assessment follows Walmart's report of impressive second-quarter results, which surpassed market expectations due to widespread market share gains and strategic initiatives.

The company's comparable sales in the second quarter were notably higher than the consensus, corroborating the positive trends KeyBanc observed in their checks and proprietary Key First Look (KFL) Data. Walmart's management highlighted that consumer trends remained stable throughout the quarter and have continued into August.

Walmart has adjusted its 2024 guidance upward, reflecting robust performance in the first half of the year. The updated forecast anticipates increases in sales, operating income, and earnings per share (EPS), all expected to surpass previous estimates.

KeyBanc's analyst commended Walmart's growth initiatives and the ongoing automation of its supply chain, which they believe positions the retailer as a standout investment opportunity within the retail sector. The firm's continued confidence in Walmart is based on the retailer's attractive consumer offerings and multifaceted strategies for growth.

In other recent news, Walmart Inc. has seen several financial firms revise their outlook on the retail giant's stock. TD Cowen raised its price target for Walmart to $85, maintaining a Buy rating. BMO Capital Markets reaffirmed its Outperform rating with a consistent price target of $80, following Walmart's second quarter fiscal year 2025 earnings report that underscored the company's e-commerce profitability and solid top-line growth.

Piper Sandler also adjusted its outlook, increasing the price target to $83 from $81, citing Walmart's robust performance in the second quarter and its upgraded fiscal year 2025 guidance. Baird, too, reaffirmed a positive outlook on Walmart, increasing the price target to $82 from the previous $70, and highlighting the significant contributions from digital sales and high-margin income streams to the company's successful second quarter.

Lastly, RBC Capital updated its financial outlook for Walmart, raising the price target to $80 from the previous $74, while maintaining an Outperform rating. These adjustments reflect the firms' positive views on Walmart's recent performance and future earnings potential. These are recent developments that mark a promising trajectory for the retail giant.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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