Source: Andrew Wynn
Oppenheimer Upgrades Walmart amidst Retail Modernization Efforts
On May 1, 2025, Oppenheimer, one of the leading global investment banks, upgraded Walmart (NYSE:WMT) to “Outperform,” at a stock price of $97.23. This upgrade is a testament to the significant strides the retail giant has been making in improving its business operations. The upgrade follows the opening of a new Supercenter in Cypress, Texas, which represents Walmart’s first new store in four years and a significant milestone in its “Store of the Future” initiative.
The “Store of the Future” initiative is a forward-looking strategy by Walmart aimed at modernizing its retail presence to adapt to the changing retail landscape. This initiative is a strategic response to the evolving customer needs and the ever-increasing competition in the retail industry.
Walmart’s Expansion and Reinvention Strategy
As part of its ongoing expansion strategy, Walmart has plans to build or convert over 150 stores in the coming years. This plan aligns with the company’s broader objective of adapting to changing market dynamics and staying ahead of the curve in the retail industry. John Furner, President and CEO of Walmart U.S., underscored the significance of this development, viewing it not just as a business expansion, but also as an investment in the community and a source of new job opportunities.
The expansion strategy would see additional Supercenters springing up in Texas, Utah, and California. Simultaneously, Neighborhood Market stores, another format of Walmart’s retail outlets, are set to open in Alabama and Florida, further expanding the company’s footprint across the country.
Walmart’s Stock Performance
Walmart’s stock has demonstrated resilience in the face of market fluctuations. As of April 5, 2025, the stock price increased by 0.90%. On the latest trading day, WMT closed at $95.22, marking a 0.14% increase. This performance outperformed the S&P 500’s daily gain of 0.06%. Over the past month, Walmart’s stock surged by 11.67%, significantly outpacing the Retail-Wholesale sector’s decline of 2.65% and the S&P 500’s drop of 4.29%.
Anticipated Earnings Report
Investors are eagerly awaiting Walmart’s upcoming earnings report slated for May 15, 2025. The company is expected to report an EPS of $0.58, which is a 3.33% decrease from the same quarter last year. Despite this, revenue is projected to rise by 2.71% to $165.88 billion compared to the previous year. These projections reflect Walmart’s ability to maintain growth and increase revenue, despite facing challenges and market fluctuations.
Trading Status and Market Position
Walmart’s stock currently trades at $97.26, with a slight increase of 0.51% within the day. The stock’s price fluctuated between $96.59 and $97.71 during the trading day. Walmart’s stock reached a high of $105.30 and a low of $58.58 over the past year. With a robust market capitalization of approximately $778.13 billion and a trading volume of 7,190,299 shares, Walmart continues to hold a significant position in the retail industry.
The company’s sustained growth, ambitious expansion strategy, and resilience in the face of market challenges consolidates its place as a significant player in the retail industry. This position is further cemented by Oppenheimer’s upgrade, reflecting the financial sector’s confidence in the retail giant’s future performance.