Walmart Inc ( NYSE : WMT ) FY2025 Q1 Earnings Release: Market Insights, Analyst Forecasts, and Technical Analysis

Google+ Pinterest LinkedIn Tumblr +

Today, May 16, 2024, at 7:00 AM US/Central, Walmart will release its FY2025 Q1 earnings. The quarterly earnings materials will be available around 6:00 AM CT. Furthermore, a live conference call with the investment community will commence at 7:00 AM CT.

As of May 2024, Walmart’s market cap stands at $482.21 billion, ranking it as the 18th most valuable company globally according to data from companiesmarketcap.com.

Walmart Dividend Information

The dividend yield for Walmart stands at 1.39%, with an annual dividend payout of $0.83. The ex-dividend date is set for December 13, 2024, and dividends are distributed quarterly. The payout ratio is at 43.46%, and there’s been a dividend growth rate of 9.21% over 51 growth years. Additionally, the buyback yield is recorded at 1.15%, contributing to a total shareholder yield of 2.53%.

News and Recent Development At Walmart 

– Walmart introduces “bettergoods,” a new private brand offering elevated culinary experiences accessible to all.

– Walmart Wellness Day offers free health screenings and affordable immunizations at Walmart pharmacies on May 18, 2024.

– With support from the Walton Family, Walmart opens a childcare center on its new home office campus.

– Walmart Health is closed due to the lack of a sustainable business model for continuation.

2024 Q4 and FY24  Earnings Recap 

In 2024 Q4, Walmart experienced significant growth and positive financial outcomes, with consolidated revenue reaching $173.4 billion, a 5.7% increase, and a consolidated gross margin rate rise of 39bps primarily due to improvements at Walmart U.S. Additionally, consolidated operating income surged by $1.7 billion, or 30.4%, with adjusted operating income up by 13.2%, positively influenced by currency and LIFO. Global eCommerce sales soared by 23%, and the global advertising business expanded by approximately 33%, notably 22% for Walmart Connect in the U.S. Adjusted EPS stood at $1.80, excluding the net effect of a $0.23 gain on equity and other investments. Walmart also announced its agreement to purchase VIZIO HOLDING CORP. to further bolster Walmart Connect in the U.S. 

For the full year, consolidated revenue amounted to $648.1 billion, a 6.0% increase, with the global advertising business growing by approximately 28% to $3.4 billion. Consolidated operating income surged by $6.6 billion, or 32.2%, outpacing sales growth, while ROA and ROI increased to 6.6% and 15.0%, respectively, up by 230 bps. GAAP EPS totaled $5.74, with adjusted EPS reaching $6.65.

FY2025 Q1 Earnings Analyst Forecast 

For the current quarter, sales estimates indicate a Zacks Consensus Estimate of $159.36 billion, derived from 9 estimates, with a high estimate of $161.14 billion and a low estimate of $158.21 billion, compared to sales of $152.30 billion a year ago, reflecting a year-over-year growth estimate of 4.63%. 

On the earnings front, the Zacks Consensus Estimate for the quarter stands at $0.52, based on 12 estimates, with the most recent consensus also at $0.52, ranging from a high estimate of $0.54 to a low estimate of $0.51, against earnings of $0.49 per share a year ago, indicating a year-over-year growth estimate of 6.12%.

Investing.com forecasts that Walmart Inc (NYSE:WMT) is expected to achieve an earnings per share (EPS) of $0.52, along with an estimated revenue of $159.57 billion.

According to Tradingview.com’s forecast, Walmart Inc (NYSE:WMT) is projected to reach an earnings per share (EPS) of $0.53, with an estimated revenue of $159.57 billion.

Technical Analysis 

From a technical analysis perspective utilizing the 4HR chart of Walmart (NYSE:WMT) on tradingview.com, it’s evident that the price has been on an upward trend since February 14, 2024. An upward trendline, originating from $55.76, halted the price momentum at $58.57 after a retracement from $61.69, which now acts as resistance, with the current price hovering around $59.83. Should the rejection at the uptrend line persist, there’s a likelihood of the price ascending towards the resistance level, and a breakthrough above the resistance would indicate further upward movement. Conversely, a breach below the downtrend line would suggest a potential continuation of the downward trend.

Conclusion 

In summary, Walmart’s FY2025 Q1 earnings release today is significant for investors. With a market cap of $482.21 billion as of May 2024, Walmart maintains a prominent global position. The company’s dividend yield is steady at 1.39%, with an annual dividend of $0.83. Recent initiatives include the launch of “bettergoods,” Walmart Wellness Day, and a new childcare center. Despite Walmart Health’s closure, the company continues to expand and strengthen its market presence. Q4 and FY24 saw substantial growth, with revenue reaching $173.4 billion and $648.1 billion, respectively. Analysts anticipate positive earnings for FY2025 Q1, supported by promising sales and earnings growth estimates. Technical analysis indicates an upward trend for Walmart’s stock price. Overall, Walmart remains a significant player in the retail sector, poised for ongoing success.

Sources:

https://corporate.walmart.com/news/events/fy2025-q1-earnings-release

https://corporate.walmart.com/news/2024/05/09/walmart-to-host-first-quarter-earnings-conference-call-may-16-2024

https://companiesmarketcap.com/walmart/marketcap/#google_vignette

https://stockanalysis.com/stocks/wmt/dividend/

https://corporate.walmart.com/news/2024/04/30/walmart-launches-bettergoods-a-new-private-brand-making-elevated-culinary-experiences-accessible-for-all

https://corporate.walmart.com/news/2024/05/14/sneak-peek-at-summer-free-health-screenings-at-walmart-wellness-day

https://corporate.walmart.com/news/2024/04/29/building-a-brighter-future-walmart-opens-childcare-center-on-new-home-office-campus-through-support-from-the-walton-family

https://corporate.walmart.com/news/2024/04/30/walmart-health-is-closing

https://corporate.walmart.com/news/2024/02/20/walmart-releases-q4-and-fy24-earnings

https://www.google.com/url?sa=t&source=web&rct=j&opi=89978449&url=https://corporate.walmart.com/content/dam/corporate/documents/newsroom/2024/02/20/walmart-releases-q4-and-fy24-earnings/walmart-earnings-release-fy24-q4.pdf&ved=2ahUKEwj-uamOrZGGAxWbU0EAHSuQDo4QFnoECB8QAQ&usg=AOvVaw1t7TR00RGscUDrjYZjvEG1

https://www.google.com/url?sa=t&source=web&rct=j&opi=89978449&url=https://corporate.walmart.com/content/dam/corporate/documents/newsroom/2024/02/20/walmart-releases-q4-and-fy24-earnings/walmart-earnings-presentation-fy24-q4.pdf&ved=2ahUKEwj-uamOrZGGAxWbU0EAHSuQDo4QFnoECCEQAQ&usg=AOvVaw3DaDNSaiqxhLvs20fwNHwX

https://www.zacks.com/stock/quote/WMT/detailed-earning-estimates

https://www.investing.com/equities/wal-mart-stores-financial-summary

https://www.tradingview.com/symbols/NYSE-WMT/forecast/

https://www.tradingview.com/x/F3L8VV9q/

Share.
Risk Warning: Trading in Forex/ CFDs and Other Derivatives is highly speculative and carries a high level of risk. General Risk Disclosure