Walmart (WMT:NYE) is intensifying its efforts to drive growth by concentrating on supply chain innovation and unit cost reduction. The company aims to have approximately 65% of its stores serviced by automation by the end of 2026, and for 55% of fulfilment centre volume to flow through automated facilities. This action is anticipated to improve unit cost averages by roughly 20%, which will have a positive impact on the bottom line.
Walmart has reaffirmed its Fiscal 2024 outlook despite its emphasis on driving efficiency. For the first quarter, the company anticipates a constant currency sales increase of 4.5-5%, with earnings per share in the range of $1.25 to $1.30. The projected EPS includes a $0.03 LIFO impact. On a constant currency basis, the company anticipates a full-year top-line increase of 2.5% to 3.0%, with adjusted EPS in the range of $5.90 to $6.00, including a LIFO impact of $0.14.
Walmart believes its omnichannel business model and enhanced category and business mix will contribute to a 4% increase in sales over the next five years. In addition, scaling high-margin value streams will increase operating income by more than 4% over the next three to five years.
Walmart Stock Forecast:
Based on the Walmart stock forecast from 39 analysts, the average analyst target price for Walmart Inc is USD 161.29 over the next 12 months. Walmart Inc’s average analyst rating is Strong Buy.
Stock Target Advisor’s own stock analysis of Walmart stock forecast is Slightly Bullish , which is based on 9 positive signals and 6 negative signals. At the last closing, Walmart stock price was USD 147.23. Walmart Inc’s stock price has changed by +2.52% over the past week, +4.66% over the past month and -2.52% over the last year.
Walmart Inc. engages in the operation of retail, wholesale, and other units worldwide. The company operates through three segments: Walmart U.S., Walmart International, and Sam’s Club. 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.