STOCK VALUE WMT is poor value based on its PE Ratio (24.1x) compared to the Consumer Retailing industry average (16.8x). FINANCIAL HEALTH WMT's earnings have declined by -10.6% per year over the past 5 years. However, their earnings growth over the past year (123.1%) exceeds its 5-year average (-10.6% per year). Their debt is well covered by operating cash flow (50.2%). BULLISH OUTLOOK Their defensive nature makes them a high-quality stock to use as a hedge against a potential unwind in the stock market. Groceries and e-commerce will be big drivers of Walmart's growth. BEARISH OUTLOOK
Operating margins have fallen due to the Amazon effect. Continued conversion towards e-commerce puts continued pressure on margins. Stock is expensive based on historical market multiples.
Overbought Buy targets are $110, $84 and $64. FULL COMPANY OVERVIEW Walmart Inc. engages in the retail and wholesale operations in various formats 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, discount stores, drugstores, and convenience stores; membership-only warehouse clubs; e-commerce Websites, such as walmart.com, jet.com, shoes.com, and samsclub.com; and mobile commerce applications. The company offers grocery products, including meat, produce, natural and organics, deli and bakery, dairy, frozen foods, alcoholic and nonalcoholic beverages, floral and dry grocery, as well as consumables, such as health and beauty aids, baby products, household chemicals, paper goods, and pet supplies; and health and wellness products. It also provides electronics, cameras and supplies, photo processing services, wireless, movies, music, video games, and books; stationery, automotive, hardware and paint, sporting goods, and outdoor living and horticulture; apparel for women, girls, men, boys, and infants, as well as shoes, jewelry, and accessories; and home furnishings, housewares and small appliances, bedding, home decor, toys, fabrics, crafts, and seasonal merchandise, as well as brand name merchandise. In addition, the company offers fuel and financial services and related products, including money orders, prepaid cards, wire and money transfers, check cashing, and bill payment. It operates approximately 11,300 stores and various e-commerce Websites under the 58 banners in 27 countries. The company was formerly known as Wal-Mart Stores, Inc. and changed its name to Walmart Inc. in February 2018. Walmart Inc. was founded in 1945 and is based in Bentonville, Arkansas.