Walmart is set to release its fourth-quarter earnings report on Thursday morning, with sales and profits expected to rise. Analysts covering the retailer have a “buy” rating for the stock, but their average price target suggests little upside from Wednesday’s closing price near record highs.
According to Visible Alpha, 20 of the 21 analysts tracking Walmart expect rising sales and profits in the fourth quarter. The consensus is that revenue will reach $180.3 billion, up nearly 4% year-over-year, with adjusted earnings per share expected to hit 64 cents, up 7% from the previous quarter.
While some analysts have lifted their price target for Walmart stock in recent weeks, citing expectations of market share gains and beating analyst estimates, their average target is $109, indicating little room for growth. Morgan Stanley and Deutsche Bank analysts recently increased their targets to $115 and $112 respectively, but these predictions are not seen as significantly bullish.
Analysts from Melius Research expect Walmart to “meaningfully beat” fourth-quarter estimates but have expressed concern over high market expectations. They believe the retail giant will stick to its conservative approach for fiscal 2026 projections but anticipate continued share price gains this year. Morgan Stanley analysts attribute Walmart’s success to its bargaining power, automated supply chains, and ability to mitigate policy headwinds.
Walmart shares have surged nearly 80% over the past 12 months, currently trading at $104 on Wednesday. With the market rotating towards quality and scale, Walmart’s stock is seen as a potential beneficiary of this trend.
Source: https://www.investopedia.com/what-analysts-think-of-walmart-stock-ahead-of-earnings-q4-fy-2025-preview-update-11679427