Walmart (WMT, $119.22) misses fiscal Q4 estimates; issues weaker-than-expected guidance for fiscal 2021
On Tuesday, Walmart reported fiscal fourth-quarter earnings that missed expectations. The big-box retail chain also provided a lower-than-expected guidance for fiscal full-year 2021.
Walmart’s adjusted earnings for the three months ending January came in at $1.38 a share, compared to the $1.44 a share expected by analysts polled by FactSet.
Sales increased to $141.67 billion, from the year-ago quarter’s $138.8 billion, but were lower than analysts' estimates of $142.5 billion.
U.S. same-store sales for Walmart climbed +1.9%, below the Street expectation of a +2.3% rise.
E-commerce sales surged +35%.
Chief Financial Officer Brett Biggs said that Walmart experienced softening demand in a few general merchandise segments in their U.S. stores in the few weeks before Christmas. Biggs also mentioned softness in some key international markets. He indicated that unrest in Chile affected majority of the company’s stores there.
Walmart’s executives are anticipating a "couple of cents" of adverse impact on the company's fiscal first quarter due to the outbreak of coronavirus. However, the company is not officially factoring the coronavirus effect into its forecast for the year.
Walmart has projected fiscal 2021 earnings of $5 to $5.15 a share - a range which is below the Street forecasts of $5.21
WMT's Stochastic Oscillator is remaining in overbought zone for 2 days
Expect a price pull-back in the near future.
Technical Analysis (Indicators)
Bearish Trend Analysis
Following a 3-day decline, the stock is projected to fall further. Considering past instances where WMT declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
Bullish Trend Analysis
The RSI Indicator points to a transition from a downward trend to an upward trend -- in cases where WMT's RSI Indicator exited the oversold zone, of 16 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
The Momentum Indicator moved above the 0 level on July 16, 2026. You may want to consider a long position or call options on WMT as a result. In of 70 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
The Moving Average Convergence Divergence (MACD) for WMT just turned positive on July 10, 2026. Looking at past instances where WMT's MACD turned positive, the stock continued to rise in of 45 cases over the following month. The odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where WMT advanced for three days, in of 378 cases, the price rose further within the following month. The odds of a continued upward trend are .
WMT may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
Fundamental Analysis (Ratings)
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 62, placing this stock better than average.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is fair valued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to consistent earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. WMT’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (9.699) is normal, around the industry mean (7.559). P/E Ratio (40.475) is within average values for comparable stocks, (38.092). WMT's Projected Growth (PEG Ratio) (4.374) is slightly higher than the industry average of (2.872). Dividend Yield (0.008) settles around the average of (0.014) among similar stocks. P/S Ratio (1.269) is also within normal values, averaging (1.035).
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General Information
a retail discount department store
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