Walmart (WMT) closed at $91.08 in the latest trading session, marking a +0.34% move from the prior day. This move outpaced the S&P 500's daily gain of 0.01%. Elsewhere, the Dow gained 0.35%, while the tech-heavy Nasdaq added 0.45%.
Heading into today, shares of the world's largest retailer had lost 6.21% over the past month, outpacing the Retail-Wholesale sector's loss of 6.6% and the S&P 500's loss of 7.29% in that time.
Investors will be hoping for strength from WMT as it approaches its next earnings release, which is expected to be February 19, 2019. On that day, WMT is projected to report earnings of $1.32 per share, which would represent a year-over-year decline of 0.75%. Meanwhile, our latest consensus estimate is calling for revenue of $139.30 billion, up 2.23% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $4.81 per share and revenue of $514.62 billion, which would represent changes of +8.82% and +2.85%, respectively, from the prior year.
Any recent changes to analyst estimates for WMT should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.11% higher. WMT is holding a Zacks Rank of #2 (Buy) right now.
In terms of valuation, WMT is currently trading at a Forward P/E ratio of 18.86. Its industry sports an average Forward P/E of 14.8, so we one might conclude that WMT is trading at a premium comparatively.
It is also worth noting that WMT currently has a PEG ratio of 3.7. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. WMT's industry had an average PEG ratio of 2.07 as of yesterday's close.
The Retail - Supermarkets industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 87, which puts it in the top 34% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow WMT in the coming trading sessions, be sure to utilize Zacks.com.