WALMART INC (WMT) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:WMT - US9311421039 - Common Stock
105.141 USD
+1.08 (+1.04%)
We assign a fundamental rating of 5 out of 10 to WMT. WMT was compared to 39 industry peers in the Consumer Staples Distribution & Retail industry. WMT has an excellent profitability rating, but there are some minor concerns on its financial health. WMT is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year WMT was profitable.
WMT had a positive operating cash flow in the past year.
In the past 5 years WMT has always been profitable.
Each year in the past 5 years WMT had a positive operating cash flow.
1.2 Ratios
WMT has a better Return On Assets (7.94%) than 82.05% of its industry peers.
WMT has a better Return On Equity (23.84%) than 74.36% of its industry peers.
Looking at the Return On Invested Capital, with a value of 12.07%, WMT belongs to the top of the industry, outperforming 82.05% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for WMT is above the industry average of 8.76%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.94% | ||
| ROE | 23.84% | ||
| ROIC | 12.07% |
ROA(3y)6.13%
ROA(5y)5.87%
ROE(3y)18.36%
ROE(5y)17.64%
ROIC(3y)12.73%
ROIC(5y)12.9%
1.3 Margins
WMT's Profit Margin of 3.26% is fine compared to the rest of the industry. WMT outperforms 79.49% of its industry peers.
In the last couple of years the Profit Margin of WMT has remained more or less at the same level.
Looking at the Operating Margin, with a value of 4.12%, WMT is in the better half of the industry, outperforming 71.79% of the companies in the same industry.
WMT's Operating Margin has been stable in the last couple of years.
WMT's Gross Margin of 24.91% is in line compared to the rest of the industry. WMT outperforms 56.41% of its industry peers.
WMT's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.12% | ||
| PM (TTM) | 3.26% | ||
| GM | 24.91% |
OM growth 3Y-4.61%
OM growth 5Y1.02%
PM growth 3Y6.13%
PM growth 5Y0.1%
GM growth 3Y-0.33%
GM growth 5Y0.13%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), WMT is creating some value.
WMT has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, WMT has less shares outstanding
WMT has a better debt/assets ratio than last year.
2.2 Solvency
WMT has an Altman-Z score of 5.75. This indicates that WMT is financially healthy and has little risk of bankruptcy at the moment.
WMT's Altman-Z score of 5.75 is amongst the best of the industry. WMT outperforms 87.18% of its industry peers.
WMT has a debt to FCF ratio of 3.48. This is a good value and a sign of high solvency as WMT would need 3.48 years to pay back of all of its debts.
WMT has a better Debt to FCF ratio (3.48) than 64.10% of its industry peers.
A Debt/Equity ratio of 0.51 indicates that WMT is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.51, WMT is in line with its industry, outperforming 53.85% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.51 | ||
| Debt/FCF | 3.48 | ||
| Altman-Z | 5.75 |
ROIC/WACC1.43
WACC8.44%
2.3 Liquidity
WMT has a Current Ratio of 0.80. This is a bad value and indicates that WMT is not financially healthy enough and could expect problems in meeting its short term obligations.
WMT has a Current ratio of 0.80. This is amonst the worse of the industry: WMT underperforms 82.05% of its industry peers.
WMT has a Quick Ratio of 0.80. This is a bad value and indicates that WMT is not financially healthy enough and could expect problems in meeting its short term obligations.
WMT has a worse Quick ratio (0.24) than 84.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.8 | ||
| Quick Ratio | 0.24 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 4.90% over the past year.
The Earnings Per Share has been growing by 8.80% on average over the past years. This is quite good.
WMT shows a small growth in Revenue. In the last year, the Revenue has grown by 4.34%.
WMT shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.38% yearly.
EPS 1Y (TTM)4.9%
EPS 3Y5.3%
EPS 5Y8.8%
EPS Q2Q%6.9%
Revenue 1Y (TTM)4.34%
Revenue growth 3Y5.94%
Revenue growth 5Y5.38%
Sales Q2Q%5.84%
3.2 Future
The Earnings Per Share is expected to grow by 8.38% on average over the next years. This is quite good.
The Revenue is expected to grow by 4.47% on average over the next years.
EPS Next Y5.04%
EPS Next 2Y8.61%
EPS Next 3Y10.07%
EPS Next 5Y8.38%
Revenue Next Year4.28%
Revenue Next 2Y4.45%
Revenue Next 3Y4.49%
Revenue Next 5Y4.47%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 40.91, the valuation of WMT can be described as expensive.
WMT's Price/Earnings ratio is a bit more expensive when compared to the industry. WMT is more expensive than 64.10% of the companies in the same industry.
WMT is valuated expensively when we compare the Price/Earnings ratio to 25.65, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 35.51, the valuation of WMT can be described as expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of WMT indicates a slightly more expensive valuation: WMT is more expensive than 61.54% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 34.45. WMT is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 40.91 | ||
| Fwd PE | 35.51 |
4.2 Price Multiples
WMT's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. WMT is more expensive than 64.10% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of WMT indicates a slightly more expensive valuation: WMT is more expensive than 71.79% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 54.92 | ||
| EV/EBITDA | 20.18 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates WMT does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of WMT may justify a higher PE ratio.
PEG (NY)8.12
PEG (5Y)4.65
EPS Next 2Y8.61%
EPS Next 3Y10.07%
5. Dividend
5.1 Amount
With a yearly dividend of 0.92%, WMT is not a good candidate for dividend investing.
WMT's Dividend Yield is a higher than the industry average which is at 2.04.
With a Dividend Yield of 0.92, WMT pays less dividend than the S&P500 average, which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.92% |
5.2 History
The dividend of WMT has a limited annual growth rate of 3.32%.
WMT has been paying a dividend for at least 10 years, so it has a reliable track record.
WMT has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)3.32%
Div Incr Years21
Div Non Decr Years21
5.3 Sustainability
31.92% of the earnings are spent on dividend by WMT. This is a low number and sustainable payout ratio.
WMT's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP31.92%
EPS Next 2Y8.61%
EPS Next 3Y10.07%
NYSE:WMT (11/25/2025, 9:42:09 AM)
105.141
+1.08 (+1.04%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupConsumer Staples Distribution & Retail
GICS IndustryConsumer Staples Distribution & Retail
Earnings (Last)
Earnings (Next)
Inst Owners36.01%
Inst Owner Change-3.47%
Ins Owners0.37%
Ins Owner Change-2.28%
Market Cap838.27B
Revenue(TTM)703.06B
Net Income(TTM)22.91B
Analysts85.71
Price Target115.95 (10.28%)
Short Float %0.89%
Short Ratio2.53
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.92% |
Yearly Dividend0.83
Dividend Growth(5Y)3.32%
DP31.92%
Div Incr Years21
Div Non Decr Years21
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-3.49%
Min EPS beat(2)-9.16%
Max EPS beat(2)2.17%
EPS beat(4)3
Avg EPS beat(4)-0.14%
Min EPS beat(4)-9.16%
Max EPS beat(4)4.88%
EPS beat(8)7
Avg EPS beat(8)3.97%
EPS beat(12)10
Avg EPS beat(12)5.03%
EPS beat(16)13
Avg EPS beat(16)4.31%
Revenue beat(2)1
Avg Revenue beat(2)-0.07%
Min Revenue beat(2)-0.29%
Max Revenue beat(2)0.16%
Revenue beat(4)1
Avg Revenue beat(4)-0.5%
Min Revenue beat(4)-1.18%
Max Revenue beat(4)0.16%
Revenue beat(8)4
Avg Revenue beat(8)-0.2%
Revenue beat(12)6
Avg Revenue beat(12)0.08%
Revenue beat(16)9
Avg Revenue beat(16)0.28%
PT rev (1m)0.54%
PT rev (3m)2.23%
EPS NQ rev (1m)0.46%
EPS NQ rev (3m)5.6%
EPS NY rev (1m)0.01%
EPS NY rev (3m)-0.25%
Revenue NQ rev (1m)0.07%
Revenue NQ rev (3m)0.62%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.48%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 40.91 | ||
| Fwd PE | 35.51 | ||
| P/S | 1.19 | ||
| P/FCF | 54.92 | ||
| P/OCF | 20.46 | ||
| P/B | 8.72 | ||
| P/tB | 12.44 | ||
| EV/EBITDA | 20.18 |
EPS(TTM)2.57
EY2.44%
EPS(NY)2.96
Fwd EY2.82%
FCF(TTM)1.91
FCFY1.82%
OCF(TTM)5.14
OCFY4.89%
SpS88.18
BVpS12.05
TBVpS8.45
PEG (NY)8.12
PEG (5Y)4.65
Graham Number26.4
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.94% | ||
| ROE | 23.84% | ||
| ROCE | 16.76% | ||
| ROIC | 12.07% | ||
| ROICexc | 12.82% | ||
| ROICexgc | 15.41% | ||
| OM | 4.12% | ||
| PM (TTM) | 3.26% | ||
| GM | 24.91% | ||
| FCFM | 2.17% |
ROA(3y)6.13%
ROA(5y)5.87%
ROE(3y)18.36%
ROE(5y)17.64%
ROIC(3y)12.73%
ROIC(5y)12.9%
ROICexc(3y)13.5%
ROICexc(5y)13.96%
ROICexgc(3y)16.63%
ROICexgc(5y)17.34%
ROCE(3y)17%
ROCE(5y)17.18%
ROICexgc growth 3Y-3.11%
ROICexgc growth 5Y4.63%
ROICexc growth 3Y-2.28%
ROICexc growth 5Y5.29%
OM growth 3Y-4.61%
OM growth 5Y1.02%
PM growth 3Y6.13%
PM growth 5Y0.1%
GM growth 3Y-0.33%
GM growth 5Y0.13%
F-Score7
Asset Turnover2.44
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.51 | ||
| Debt/FCF | 3.48 | ||
| Debt/EBITDA | 1.14 | ||
| Cap/Depr | 185.85% | ||
| Cap/Sales | 3.66% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 95.71% | ||
| Profit Quality | 66.62% | ||
| Current Ratio | 0.8 | ||
| Quick Ratio | 0.24 | ||
| Altman-Z | 5.75 |
F-Score7
WACC8.44%
ROIC/WACC1.43
Cap/Depr(3y)170.4%
Cap/Depr(5y)145.24%
Cap/Sales(3y)3.14%
Cap/Sales(5y)2.71%
Profit Quality(3y)88.41%
Profit Quality(5y)110.16%
High Growth Momentum
Growth
EPS 1Y (TTM)4.9%
EPS 3Y5.3%
EPS 5Y8.8%
EPS Q2Q%6.9%
EPS Next Y5.04%
EPS Next 2Y8.61%
EPS Next 3Y10.07%
EPS Next 5Y8.38%
Revenue 1Y (TTM)4.34%
Revenue growth 3Y5.94%
Revenue growth 5Y5.38%
Sales Q2Q%5.84%
Revenue Next Year4.28%
Revenue Next 2Y4.45%
Revenue Next 3Y4.49%
Revenue Next 5Y4.47%
EBIT growth 1Y0.81%
EBIT growth 3Y1.05%
EBIT growth 5Y6.45%
EBIT Next Year50.5%
EBIT Next 3Y21.81%
EBIT Next 5Y14.37%
FCF growth 1Y20.3%
FCF growth 3Y-0.68%
FCF growth 5Y-2.74%
OCF growth 1Y27.43%
OCF growth 3Y11.87%
OCF growth 5Y7.61%
WALMART INC / WMT FAQ
What is the fundamental rating for WMT stock?
ChartMill assigns a fundamental rating of 5 / 10 to WMT.
What is the valuation status for WMT stock?
ChartMill assigns a valuation rating of 1 / 10 to WALMART INC (WMT). This can be considered as Overvalued.
What is the profitability of WMT stock?
WALMART INC (WMT) has a profitability rating of 7 / 10.
Can you provide the PE and PB ratios for WMT stock?
The Price/Earnings (PE) ratio for WALMART INC (WMT) is 40.91 and the Price/Book (PB) ratio is 8.72.
Can you provide the financial health for WMT stock?
The financial health rating of WALMART INC (WMT) is 5 / 10.