Is NYSE:WMT a Suitable Choice for Quality Investing?

In this article we will dive into WALMART INC (NYSE:WMT) as a possible candidate for quality investing. Investors should always do their own research, but we noticed WALMART INC showing up in our Caviar Cruise quality screen, which makes it worth to investigate a bit more.

Why NYSE:WMT may be interesting for quality investors.

• WALMART INC has demonstrated significant revenue growth over the past 5 years, with a 5.38% increase. This underscores the company's ability to adapt to market dynamics and capitalize on growth opportunities.
• With a notable ROIC excluding cash and goodwill at 17.12%, WALMART INC demonstrates its commitment to generating sustainable returns for shareholders. This metric emphasizes the company's effective use of capital and its ability to deliver long-term value.
• WALMART INC maintains a healthy Debt/Free Cash Flow Ratio of 3.62, indicating a strong financial position and prudent debt management. This ratio suggests the company has sufficient free cash flow to cover its debt obligations and highlights its ability to generate cash from operations.
• WALMART INC demonstrates consistent Profit Quality over the past 5 years, with a strong 110.0%. This indicates the company's ability to generate sustainable and reliable profits, showcasing its long-term profitability and financial stability.
• WALMART INC has consistently achieved strong EBIT growth over the past 5 years, with a 6.45% increase. This underscores the company's effective management of its operating income and suggests a positive outlook for future profitability.
• The EBIT 5-year growth of WALMART INC has outpaced its Revenue 5-year growth, reflecting the company's focus on optimizing its profitability and generating sustainable earnings. This trend underscores its strong financial management.

A complete fundamental analysis of NYSE:WMT

At ChartMill, a crucial aspect of their analysis is the assignment of a Fundamental Rating to each stock. This rating, ranging from 0 to 10, is calculated daily by considering numerous fundamental indicators and properties.

Overall WMT gets a fundamental rating of 6 out of 10. We evaluated WMT against 40 industry peers in the Consumer Staples Distribution & Retail industry. While WMT belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. While showing a medium growth rate, WMT is valued expensive at the moment.

Check the latest full fundamental report of WMT for a complete fundamental analysis.

More ideas for quality investing can be found on ChartMill in our Caviar Cruise screen.

Disclaimer

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.