WMT Walmart Inc. - Common Stock

NASDAQ · Retail · View on SEC EDGAR ↗
$132.01
Price · May 20, 2026
Fundamentals as of Mar 13, 2026
52W Range
$93–$135
92% of range
Analyst Rating
BUY
48 analysts
Price Target
$137
+4% upside
P/E (TTM)
43.2
ROE
23.0%
Net Profit Margin
3.1%

WMT Stock Snapshot Price, market cap, P/E, EPS, ROE, debt/equity, 52-week range

Price
$132.01
Market Cap
$940.18B
P/E (TTM)
43.2
EPS (TTM)
$2.73
Revenue (TTM)
$713.16B
Div Yield
0.80%
ROE
23.0%
Debt/Equity
0.4
52W Range
$93 – $135

WMT Stock Price Chart Daily OHLCV with technical indicators — pan, zoom, and customize your view

10-Year Performance Revenue, net income, margins and EPS trends

Revenue & Net Income $713.16B
4-point trend, +16.7%
2023-01-31 → 2026-01-31
EPS $2.73
4-point trend, +92.3%
2023-01-31 → 2026-01-31
Free Cash Flow $14.92B
4-point trend, +24.5%
2023-01-31 → 2026-01-31
Margins 3.1%

Valuation P/E, P/S, P/B, EV/EBITDA ratios — is the stock expensive or cheap?

Metric
5Y trend
WMT
Peer Median
P/E (TTM)
4-point trend, +28.0%
43.2
23.1
P/S (TTM)
1.3
0.7
P/B
9.4
3.9
EV / EBITDA
22.1
—
Price / FCF
63.0
—

Profitability Gross, operating and net margins; ROE, ROA, ROIC

Metric
5Y trend
WMT
Peer Median
Operating Margin
4-point trend, +25.1%
4.2%
—
Net Profit Margin
4-point trend, +60.7%
3.1%
3.1%
ROA
4-point trend, +68.7%
8.0%
6.9%
ROE
4-point trend, +46.5%
23.0%
23.7%
ROIC
4-point trend, +33.4%
15.6%
—

Financial Health Debt, liquidity, solvency — balance sheet strength

Metric
5Y trend
WMT
Peer Median
Debt / Equity
4-point trend, -12.1%
0.4
18.9
Current Ratio
4-point trend, -3.8%
0.8
1.0
Quick Ratio
4-point trend, +13.5%
0.2
—

Growth Revenue, EPS and net income growth: YoY, 3Y CAGR, 5Y CAGR

Metric
5Y trend
WMT
Peer Median
Revenue YoY
4-point trend, +16.7%
4.7%
—
Revenue CAGR 3Y
4-point trend, +16.7%
5.3%
—
Revenue CAGR 5Y
4-point trend, +16.7%
5.0%
—
EPS YoY
4-point trend, +92.3%
13.3%
—
Net Income YoY
4-point trend, +87.4%
12.6%
—

Per Share Metrics EPS, book value per share, cash flow per share, dividend per share

Metric
5Y trend
WMT
Peer Median
EPS (Diluted)
4-point trend, +92.3%
$2.73
—

Capital Efficiency Asset turnover, inventory turnover, receivables turnover

Metric
5Y trend
WMT
Peer Median
Payout Ratio
4-point trend, -34.5%
34.3%
—

Dividends Yield, payout ratio, dividend history, 5Y CAGR

Dividend Yield
0.80%
Payout Ratio
34.3%
5Y Div CAGR
—
Ex-dateAmount
May 8, 2026$0.2480
March 20, 2026$0.2480
Dec. 12, 2025$0.2350
Aug. 15, 2025$0.2350
May 9, 2025$0.2350
March 21, 2025$0.2350
Dec. 13, 2024$0.2080
Aug. 16, 2024$0.2080
May 9, 2024$0.2080
March 14, 2024$0.2080
Dec. 7, 2023$0.1900
Aug. 10, 2023$0.1900
May 4, 2023$0.1900
March 16, 2023$0.1900
Dec. 8, 2022$0.1867
Aug. 11, 2022$0.1867
May 5, 2022$0.1867
March 17, 2022$0.1867
Dec. 9, 2021$0.1833
Aug. 12, 2021$0.1833

WMT Analyst Consensus Bullish and bearish analyst opinions, 12-month price target, upside

BUY 48 analysts
  • Strong Buy 14 29.2%
  • Buy 30 62.5%
  • Hold 4 8.3%
  • Sell 0 0.0%
  • Strong Sell 0 0.0%

12-Month Price Target

41 analysts · 2026-05-15
Median target $140.00 +6.1%
Mean target $137.37 +4.1%

Earnings History EPS actual vs estimate, surprise %, beat rate, next earnings date

Avg Surprise
-0.01%
Period EPS Actual EPS Est Surprise
March 31, 2026 $0.74 $0.73 0.01%
Dec. 31, 2025 $0.62 $0.61 0.01%
Sept. 30, 2025 $0.68 $0.75 -0.07%
June 30, 2025 $0.61 $0.58 0.03%

Peer Comparison Key metrics vs sector peers

Ticker Market Cap P/E Rev YoY Net Margin ROE Gross Margin
WMT $940.18B 43.2 4.7% 3.1% 23.0% —
COST $418.34B 51.8 8.2% 2.9% 29.6% —
TGT $47.76B 13.0 -1.7% 3.5% 23.5% —
DG $31.59B 20.9 5.2% 3.5% 18.3% 30.7%
DLTR $23.21B 18.8 10.4% 6.6% 34.8% 36.3%
BJ $11.98B 21.1 4.7% 2.7% 26.9% —
PSMT $3.30B 22.3 7.2% 2.8% 12.2% —

Full Fundamentals All metrics by year — income statement, balance sheet, cash flow

Income Statement 14
Annual Income Statement data for WMT
Metric Trend 202620252024202320222021202020192018201720162015
Revenue 12-point trend, +46.8% $713.16B $680.99B $648.12B $611.29B $572.75B $559.15B $523.96B $514.40B $500.34B $485.87B $482.13B $485.65B
Cost of Revenue 12-point trend, +46.6% $535.39B $511.75B $490.14B $463.72B $429.00B $420.31B $394.61B $385.30B $373.40B $361.26B $360.98B $365.09B
SG&A Expense 12-point trend, +58.4% $147.94B $139.88B $130.97B $127.14B $117.81B $116.29B $108.79B $107.15B $106.51B $101.85B $97.04B $93.42B
Operating Income 12-point trend, +9.9% $29.82B $29.35B $27.01B $20.43B $25.94B $22.55B $20.57B $21.96B $20.44B $22.76B $24.11B $27.15B
Interest Income 12-point trend, +225.7% $368M $483M $546M $254M $158M $121M $189M $217M $152M $100M $81M $113M
Other Non-op 10-point trend, +2075000000.00 $2.08B $-794M $-3.03B $-1.54B $-3.00B $210M $1.96B $-8.37B $0 $0 · ·
Pretax Income 12-point trend, +18.8% $29.47B $26.31B $21.85B $17.02B $18.70B $20.56B $20.12B $11.46B $15.12B $20.50B $21.64B $24.80B
Income Tax 12-point trend, -9.8% $7.20B $6.15B $5.58B $5.72B $4.76B $6.86B $4.92B $4.28B $4.60B $6.20B $6.56B $7.99B
Net Income 12-point trend, +33.8% $21.89B $19.44B $15.51B $11.68B $13.67B $13.51B $14.88B $6.67B $9.86B $13.64B $14.69B $16.36B
EPS (Basic) 12-point trend, -46.0% $2.74 $2.42 $1.92 $1.43 $1.63 $4.77 $5.22 $2.28 $3.29 $4.40 $4.58 $5.07
EPS (Diluted) 12-point trend, -45.9% $2.73 $2.41 $1.91 $1.42 $1.62 $4.75 $5.19 $2.26 $3.28 $4.38 $4.57 $5.05
Shares (Basic) 12-point trend, +147.2% 7,983,000,000 8,041,000,000 8,077,000,000 8,171,000,000 8,376,000,000 2,831,000,000 2,850,000,000 2,929,000,000 2,995,000,000 3,101,000,000 3,207,000,000 3,230,000,000
Shares (Diluted) 12-point trend, +147.4% 8,022,000,000 8,081,000,000 8,108,000,000 8,202,000,000 8,415,000,000 2,847,000,000 2,868,000,000 2,945,000,000 3,010,000,000 3,112,000,000 3,217,000,000 3,243,000,000
EBITDA 12-point trend, +21.2% $44.03B $42.32B $38.87B $31.37B $36.60B $33.70B $31.55B $32.63B $30.97B $32.84B $33.56B $36.32B
Balance Sheet 25
Annual Balance Sheet data for WMT
Metric Trend 202620252024202320222021202020192018201720162015
Cash & Equivalents 12-point trend, +17.4% $10.73B $9.04B $9.87B $8.62B $14.76B $17.74B $9.46B $7.72B $6.76B $6.87B $8.71B $9.13B
Receivables 12-point trend, +64.8% $11.17B $9.97B $8.80B $7.93B $8.28B $6.52B $6.28B $6.28B $5.61B $5.83B $5.62B $6.78B
Inventory 12-point trend, +30.4% $58.85B $56.44B $54.89B $56.58B $56.51B $44.95B $44.44B $44.27B $43.78B $43.05B $44.47B $45.14B
Prepaid Expense 12-point trend, +85.4% $4.12B $4.01B $3.32B $2.52B $1.52B $20.86B $1.62B $3.62B $3.51B $1.94B $1.44B $2.22B
Current Assets 12-point trend, +34.1% $84.87B $79.46B $76.88B $75.66B $81.07B $90.07B $61.81B $61.90B $59.66B $57.69B $60.24B $63.28B
PP&E (Net) 12-point trend, +19.1% $136.08B $119.99B $110.81B $100.76B $94.52B $92.20B $105.21B $104.32B $107.67B $107.71B $110.17B $114.28B
PP&E (Gross) 12-point trend, +44.5% $256.42B $231.62B $219.86B $202.37B $189.32B $180.57B $195.03B $185.81B $185.15B $179.49B $176.96B $177.40B
Accum. Depreciation 12-point trend, +90.7% $120.34B $111.62B $109.05B $101.61B $94.81B $88.37B $89.82B $81.49B $77.48B $71.78B $66.79B $63.12B
Goodwill 12-point trend, +58.7% $28.73B $28.79B $28.11B $28.17B $29.01B $28.98B $31.07B $31.18B $18.24B $17.04B $16.70B $18.10B
Other Non-current Assets 12-point trend, +158.5% $14.10B $12.87B $17.07B $20.13B $22.15B $23.60B $16.57B $14.82B $11.80B $9.92B $6.13B $5.46B
Total Assets 12-point trend, +39.9% $284.67B $260.82B $252.40B $243.20B $244.86B $252.50B $236.50B $219.29B $204.52B $198.82B $199.58B $203.49B
Accounts Payable 12-point trend, +64.2% $63.06B $58.67B $56.81B $53.74B $55.26B $49.14B $46.97B $47.06B $46.09B $41.43B $38.49B $38.41B
Accrued Liabilities 12-point trend, +62.8% $31.19B $29.34B $28.76B $31.13B $26.06B $37.97B $22.30B $22.16B $22.12B $20.65B $19.61B $19.15B
Short-term Debt 12-point trend, +314.3% $6.60B $3.07B $878M $372M $410M $224M $575M $5.22B $5.26B $1.10B $2.71B $1.59B
Current Liabilities 12-point trend, +64.7% $107.47B $96.58B $92.42B $92.20B $87.38B $92.64B $77.79B $77.48B $78.52B $66.93B $64.62B $65.25B
Capital Leases 12-point trend, +435.0% $13.94B $12.82B $12.94B $12.83B $13.01B $12.91B $16.17B $6.68B $6.78B $6.00B $5.82B $2.61B
Long-term Debt 12-point trend, -16.4% $38.17B $36.00B $39.58B $38.84B $37.67B $44.31B $49.08B $45.40B $33.78B $38.27B $40.96B $45.68B
Total Debt 12-point trend, -5.7% $44.76B $39.07B $40.46B $39.21B $38.08B $44.53B $49.65B $50.62B $39.04B $39.37B $43.67B $47.49B
Common Stock 12-point trend, +146.7% $797M $802M $805M $808M $276M $282M $284M $288M $295M $305M $317M $323M
Paid-in Capital 12-point trend, +176.8% $6.82B $5.50B $4.54B $4.43B $4.84B $3.65B $3.25B $2.96B $2.65B $2.37B $1.80B $2.46B
Retained Earnings 12-point trend, +22.1% $104.77B $98.31B $89.81B $83.14B $86.90B $88.76B $83.94B $80.78B $85.11B $89.35B $90.02B $85.78B
AOCI 12-point trend, -78.2% $-12.77B $-13.61B $-11.30B $-11.68B $-8.77B $-11.77B $-12.80B $-11.54B $-10.18B $-14.23B $-11.60B $-7.17B
Stockholders' Equity 12-point trend, +22.4% $99.62B $91.01B $83.86B $76.69B $83.25B $80.92B $74.67B $72.50B $77.87B $77.80B $80.55B $81.39B
Liabilities + Equity 12-point trend, +39.9% $284.67B $260.82B $252.40B $243.20B $244.86B $252.50B $236.50B $219.29B $204.52B $198.82B $199.58B $203.49B
Shares Outstanding 4-point trend, -1.4% 7,969,000,000 8,024,000,000 8,054,000,000 8,080,000,000 · · · · · · · ·
Cash Flow 16
Annual Cash Flow data for WMT
Metric Trend 202620252024202320222021202020192018201720162015
D&A 12-point trend, +54.8% $14.20B $12.97B $11.85B $10.95B $10.66B $11.15B $10.99B $10.68B $10.53B $10.08B $9.45B $9.17B
Deferred Tax 12-point trend, +538.7% $2.28B $-663M $-171M $430M $-759M $2.00B $329M $-470M $-180M $745M $-1.03B $-519M
Restructuring · · · · · · · · $1.20B · · ·
Other Non-cash 12-point trend, -10.0% $3.19B $4.70B $8.53B $5.79B $609M $9.41B $-942M $10.88B $8.13B $7.06B $4.27B $3.55B
Operating Cash Flow 12-point trend, +45.5% $41.56B $36.44B $35.73B $28.84B $24.18B $36.07B $25.25B $27.75B $28.34B $31.67B $27.55B $28.56B
CapEx 12-point trend, +118.8% $26.64B $23.78B $20.61B $16.86B $13.11B $10.26B $10.71B $10.34B $10.05B $10.62B $11.48B $12.17B
Investing Cash Flow 12-point trend, -136.9% $-26.35B $-21.38B $-21.29B $-17.72B $-6.01B $-10.07B $-9.13B $-24.04B $-9.08B $-13.90B $-10.68B $-11.12B
Debt Issued 12-point trend, -23.0% $3.98B $0 $4.97B $5.04B $6.95B $0 $5.49B $15.87B $7.48B $137M $39M $5.17B
Net Debt Issued 12-point trend, +6.9% $1.36B $-3.47B $750M $2.35B $-6.07B $-5.38B $3.58B $12.09B $-5.58B $-1.92B $-4.39B $1.27B
Stock Repurchased 12-point trend, +696.8% $8.09B $4.49B $2.78B $9.92B $9.79B $2.62B $5.72B $7.41B $8.30B $8.30B $4.11B $1.01B
Net Stock Activity 12-point trend, -696.8% $-8.09B $-4.49B $-2.78B $-9.92B $-9.79B $-2.62B $-5.72B $-7.41B $-8.30B $-8.30B $-4.11B $-1.01B
Dividends Paid 12-point trend, +21.4% $7.51B $6.69B $6.14B $6.11B $6.15B $6.12B $6.05B $6.10B $6.12B $6.22B $6.29B $6.18B
Financing Cash Flow 12-point trend, +10.1% $-13.55B $-14.82B $-13.41B $-17.04B $-22.83B $-16.12B $-14.30B $-2.54B $-19.88B $-19.07B $-16.29B $-15.07B
Net Change in Cash 12-point trend, -3.7% $1.78B $-399M $1.09B $-5.99B $-4.80B $10.12B $1.76B $742M $-130M $-1.75B $-430M $1.85B
Taxes Paid 3-point trend, -8.8% $5.36B $5.88B $5.88B · · · · · · · · ·
Free Cash Flow 12-point trend, -9.0% $14.92B $12.66B $15.12B $11.98B $11.07B $25.81B $14.55B $17.41B $18.29B $20.91B $15.91B $16.39B
Profitability 7
Annual Profitability data for WMT
Metric Trend 202620252024202320222021202020192018201720162015
Operating Margin 12-point trend, -25.2% 4.2% 4.3% 4.2% 3.3% 4.5% 4.0% 3.9% 4.3% 4.1% 4.7% 5.0% 5.6%
Net Margin 12-point trend, -8.9% 3.1% 2.9% 2.4% 1.9% 2.4% 2.4% 2.8% 1.3% 2.0% 2.8% 3.0% 3.4%
Pretax Margin 12-point trend, -19.2% 4.1% 3.9% 3.4% 2.8% 3.3% 3.7% 3.8% 2.2% 3.0% 4.2% 4.5% 5.1%
EBITDA Margin 12-point trend, -17.5% 6.2% 6.2% 6.0% 5.1% 6.4% 6.0% 6.0% 6.3% 6.2% 6.8% 7.0% 7.5%
ROA 12-point trend, +0.9% 8.0% 7.4% 6.1% 4.8% 5.6% 5.4% 6.2% 3.0% 4.8% 6.7% 7.3% 8.0%
ROE 12-point trend, +12.7% 23.0% 21.7% 19.0% 15.7% 16.5% 16.6% 20.3% 9.2% 12.8% 17.5% 18.4% 20.4%
ROIC 12-point trend, +9.3% 15.6% 17.3% 16.2% 11.7% 15.9% 12.0% 12.5% 11.2% 12.2% 13.6% 13.5% 14.3%
Liquidity & Solvency 4
Annual Liquidity & Solvency data for WMT
Metric Trend 202620252024202320222021202020192018201720162015
Current Ratio 12-point trend, -18.5% 0.8 0.8 0.8 0.8 0.9 1.0 0.8 0.8 0.8 0.9 0.9 1.0
Quick Ratio 12-point trend, -16.4% 0.2 0.2 0.2 0.2 0.3 0.3 0.2 0.2 0.2 0.2 0.2 0.2
Debt / Equity 12-point trend, -23.0% 0.4 0.4 0.5 0.5 0.5 0.6 0.7 0.7 0.5 0.5 0.5 0.6
LT Debt / Equity 12-point trend, -31.1% 0.3 0.4 0.4 0.5 0.4 0.5 0.6 0.6 0.4 0.5 0.5 0.5
Efficiency 3
Annual Efficiency data for WMT
Metric Trend 202620252024202320222021202020192018201720162015
Asset Turnover 12-point trend, +10.7% 2.6 2.6 2.5 2.5 2.3 2.2 2.2 2.3 2.4 2.4 2.4 2.4
Inventory Turnover 12-point trend, +22.9% 9.3 8.5 8.2 7.6 7.5 8.7 8.2 8.1 8.0 7.8 7.6 7.6
Receivables Turnover 12-point trend, -10.6% 67.4 68.1 74.4 75.7 73.3 91.0 88.1 85.3 87.2 86.9 90.7 75.5
Per Share 6
Annual Per Share data for WMT
Metric Trend 202620252024202320222021202020192018201720162015
Book Value / Share $12.50 · · · · · · · · · · ·
Revenue / Share 12-point trend, -40.6% $88.90 $84.27 $79.94 $223.59 $204.19 $196.40 $182.69 $174.67 $166.23 $156.13 $149.87 $149.75
Cash Flow / Share 12-point trend, -41.2% $5.18 $4.51 $4.41 $10.55 $8.62 $12.67 $8.81 $9.42 $9.41 $10.13 $8.51 $8.81
Cash / Share $1.35 · · · · · · · · · · ·
Dividend / Share 12-point trend, -51.0% $1 $1 $1 $1 $1 $2 $2 $2 $2 $2 $2 $2
EPS (TTM) 12-point trend, -45.9% $2.73 $2.41 $1.91 $1.42 $1.62 $4.75 $5.19 $2.26 $3.28 $4.38 $4.57 $5.05
Growth Rates 10
Annual Growth Rates data for WMT
Metric Trend 202620252024202320222021202020192018201720162015
Revenue YoY 5-point trend, +94.7% 4.7% 5.1% 6.0% 6.7% 2.4% · · · · · · ·
Revenue CAGR 3Y 3-point trend, +4.4% 5.3% 5.9% 5.1% · · · · · · · · ·
Revenue CAGR 5Y 5.0% · · · · · · · · · · ·
EPS YoY 5-point trend, +120.2% 13.3% 26.2% 34.5% -12.3% -65.9% · · · · · · ·
EPS CAGR 3Y 3-point trend, +192.9% 24.3% 14.2% -26.2% · · · · · · · · ·
EPS CAGR 5Y -10.5% · · · · · · · · · · ·
Net Income YoY 5-point trend, +944.6% 12.6% 25.3% 32.8% -14.6% 1.2% · · · · · · ·
Net Income CAGR 3Y 3-point trend, +394.7% 23.3% 12.4% 4.7% · · · · · · · · ·
Net Income CAGR 5Y 10.1% · · · · · · · · · · ·
Dividend CAGR 5Y 4.2% · · · · · · · · · · ·
Valuation (TTM) 17
Annual Valuation (TTM) data for WMT
Metric Trend 202620252024202320222021202020192018201720162015
Revenue TTM 12-point trend, +46.8% $713.16B $680.99B $648.12B $611.29B $572.75B $559.15B $523.96B $514.40B $500.34B $485.87B $482.13B $485.65B
Net Income TTM 12-point trend, +33.8% $21.89B $19.44B $15.51B $11.68B $13.67B $13.51B $14.88B $6.67B $9.86B $13.64B $14.69B $16.36B
Market Cap $940.18B · · · · · · · · · · ·
Enterprise Value $974.22B · · · · · · · · · · ·
P/E 12-point trend, +670.4% 43.2 40.7 28.8 33.8 28.8 9.9 7.4 14.1 10.8 5.1 4.8 5.6
P/S 1.3 · · · · · · · · · · ·
P/B 9.4 · · · · · · · · · · ·
P / Tangible Book 13.3 · · · · · · · · · · ·
P / Cash Flow 22.6 · · · · · · · · · · ·
P / FCF 63.0 · · · · · · · · · · ·
EV / EBITDA 22.1 · · · · · · · · · · ·
EV / FCF 65.3 · · · · · · · · · · ·
EV / Revenue 1.4 · · · · · · · · · · ·
Dividend Yield 0.80% · · · · · · · · · · ·
Earnings Yield 12-point trend, -87.0% 2.3% 2.5% 3.5% 3.0% 3.5% 10.1% 13.6% 7.1% 9.2% 19.7% 20.7% 17.8%
Payout Ratio 12-point trend, -9.3% 34.3% 34.4% 39.6% 52.3% 45.0% 45.3% 40.6% 91.5% 62.1% 45.6% 42.8% 37.8%
Annual Payout 12-point trend, +21.4% $7.51B $6.69B $6.14B $6.11B $6.15B $6.12B $6.05B $6.10B $6.12B $6.22B $6.29B $6.18B

Financial Statements Income statement, balance sheet, cash flow — annual, last 5 years

Income Statement
2026-01-312025-01-312024-10-312024-07-312024-04-30
Revenue $713.16B$680.99B———
Operating Margin % 4.2%4.3%———
Net Income $21.89B$19.44B———
Diluted EPS $2.73$2.41———
Balance Sheet
2026-01-312025-01-312024-10-312024-07-312024-04-30
Debt / Equity 0.40.4———
Current Ratio 0.80.8———
Quick Ratio 0.20.2———
Cash Flow
2026-01-312025-01-312024-10-312024-07-312024-04-30
Free Cash Flow $14.92B$12.66B———

WMT AI Analyst Panel — Bullish and Bearish Views 2026Q2 debate: Claude, Grok, Gemini, ChatGPT on the stock's prospects

Round 1 — Opening Takes

Grok NEUTRAL 0.75
↑ Bullish

I see Walmart as a defensive juggernaut that thrives in chaos thanks to its scale and fast-growing advertising business. Advertising revenue jumped 46% in fiscal 2026, per the April 5 news report, turning a small unit into a high-margin profit booster that offsets retail pressures. ROE holds at 23.69%, right in line with peers like Target's 23.89%, proving it squeezes solid returns from its massive equity base. Recent news like Jim Cramer's April 11 'juggernaut' call underscores its market outperformance even amid volatility.

↓ Bearish

My read is Walmart's stretched valuation ignores fading profitability and liquidity risks that could unravel in a downturn. P/E TTM at 45.65 towers over peers like Target's 14.9, baking in flawless execution that's rare for big-box retail. Net margin slipped to 3.07%, signaling cost squeezes are hitting the bottom line harder now. Current ratio at 0.79 dips below the 1.0 comfort line, hinting at potential cash flow strains for short-term obligations.

Claude NEUTRAL 0.72
↑ Bullish

Walmart is a defensive juggernaut printing cash in a consumer slowdown, and the market is finally pricing in its advertising renaissance. The 46% ad revenue growth (April news) is a high-margin profit lever most investors still underweight. ROE of 23.69% is solid for retail and shows the business model works. Yes, the P/E of 45.65 looks stretched against Target at 14.90, but Walmart's scale, pricing power, and emerging ad platform justify a premium multiple. Market cap jumped $112B in one quarter — institutional money is rotating into quality.

↓ Bearish

Walmart is pricing in perfection at a 45.65 P/E while fundamentals are actually deteriorating. Net margin fell to 3.07% from 3.26% last quarter, and EPS is flat even as the stock rallies. The current ratio of 0.79 signals tight liquidity for a $999B company — that's a red flag in a credit squeeze. Most troubling: this valuation assumes advertising growth stays at 46% forever, but that's a small tail wagging a massive dog. When growth disappoints or rates stay high, multiple compression will be brutal.

Gemini NEUTRAL 0.75
↑ Bullish

Walmart is successfully evolving from a low-margin retailer into a high-margin digital advertising powerhouse. The company reported that its advertising revenue grew by 46% in fiscal year 2026. This shift is critical because these ad dollars carry significantly higher margins than traditional grocery sales, effectively diversifying their income streams. While the stock trades at a 45.65 P/E ratio, investors are clearly pricing in this transition to a more profitable, tech-driven business model. This premium suggests the market believes Walmart can sustain its dominance as a defensive juggernaut even in volatile geopolitical environments.

↓ Bearish

The current valuation is untethered from the company's underlying financial reality, making the stock extremely vulnerable to a correction. Walmart is trading at a 45.65 P/E, which is remarkably high for a mature retailer. This multiple implies an aggressive growth trajectory that may be difficult to maintain given their 3.07% net profit margin. That thin margin shows exactly how little room the company has for error in its core operations. Furthermore, with a current ratio of 0.79, the company holds less than a dollar in liquid assets for every dollar of short-term debt, signaling potential liquidity pressure.

Chatgpt NEUTRAL 0.62
↑ Bullish

I think Walmart's durable cash generation and momentum in high-margin advertising can power earnings and justify a higher multiple into 2026Q2. ROE TTM: 23.69%. That shows Walmart efficiently turns equity into profits, supporting buybacks and a robust shareholder-returns engine. Gross margin TTM: 24.93%. That level signals pricing power and cost discipline across a broad mix, helping protect margins as channels shift. EPS TTM: 2.7296. That provides a stable earnings base to fund ongoing buybacks and dividends.

↓ Bearish

I think the bears have a case if valuation and margins risk a pullback in the face of slower growth. P/E TTM: 45.65%. That premium valuation leaves little cushion if growth slows or profit mix underperforms. Net profit margin TTM: 3.07%. That is modest and has cooled; any margin pressure could dent earnings power. Current ratio: 0.7898x. That near-term liquidity dip suggests tighter working capital and less flexibility to weather demand swings.

Round 2 — Responses & Rebuttals

Grok

Claude, I disagree that the net margin slip to 3.07% proves fundamentals are deteriorating—the 46% advertising revenue growth you highlighted more than offsets it with high-margin profits. For Walmart, this shift reduces reliance on low-margin grocery sales, stabilizing earnings even as core retail faces pressure. That's why institutional flows pushed market cap up $112B last quarter, signaling confidence in this evolution.

Claude

I think Grok is conflating two different problems here. Yes, the P/E of 45.65 versus Target's 14.90 looks extreme on paper, but Grok treats that gap as proof of overvaluation without accounting for the ad business mix shift. Target's ROE sits at 23.89% versus Walmart's 23.69% — nearly identical — yet Grok uses this parity to argue Walmart's multiple is unjustified. That's backwards. If Walmart's returns match Target's while growing advertising at 46%, the multiple premium isn't irrational; it reflects a different growth profile. The liquidity concern at 0.79 current ratio is fair, but it's not new to this quarter and doesn't explain the $112B market cap jump.

Gemini

Grok, I disagree with your buy rating because you are overlooking the fundamental mismatch between the stock's price and the company's actual liquidity. You mentioned the 23.69% ROE, which shows efficient capital use, but that figure is meaningless if the company lacks the cash to cover its immediate obligations. The current ratio of 0.79 tells us that Walmart has less than a dollar of liquid assets for every dollar of debt due within a year. That creates a structural vulnerability that makes a 45.65 P/E multiple far too risky for my taste.

Chatgpt

Claude, I think your liquidity warning misses Walmart's cash-flow resilience. Your focus is the current ratio at 0.79. That means the near-term cushion to cover short-term obligations is thin, which would be a risk if cash generation falters. But Walmart's steady operating cash flow and margin from advertising provide a buffer, and the company has a long track record of funding buybacks and dividends even in slower retail cycles.

Round 3 — Final Rebuttals

G
Grok

Gemini, calling ROE meaningless due to the current ratio misses how it measures Walmart's long-term profit power from its equity base. The 23.69% ROE proves efficient returns that fund buybacks and dividends amid retail cycles. Sub-1.0 current ratios are the norm for inventory giants like Walmart, who prioritize fast cash conversion over idle liquidity.

C
Claude

I want to push back on ChatGPT's operating cash flow claim — it's doing heavy lifting in your argument but we haven't seen the actual number. ChatGPT, what's Walmart's trailing twelve-month operating cash flow, and how much of that is earmarked for the $112B in buybacks and dividends you mentioned? Because if free cash flow is tight relative to those commitments, the 0.79 current ratio stops looking like a non-issue and starts looking like a warning sign that the company is financing shareholder returns by drawing down liquidity rather than generating it. That's a structural problem, not a temporary working-capital blip.

G
Gemini

Grok, I have to challenge your assertion that the $112 billion market cap increase is purely a vote of confidence in the advertising pivot. Institutional positioning is actually being driven by a massive sector rotation into defensive staples as investors hedge against the current rate cycle. When you look at the P/E of 45.65, that multiple is being inflated by capital seeking safety rather than fundamental earnings growth. That premium valuation means the stock is essentially acting as a bond proxy, leaving it highly sensitive to any shift in interest rate expectations that might pull that institutional money back into higher-yielding assets.

C
Chatgpt

I think, Claude, Grok, Gemini, we should widen the frame by incorporating macro and regulatory dynamics that could cap Walmart's ad-driven margin expansion. P/E 45.65. That high multiple leaves little cushion if growth slows or margins compress. Advertising revenue growth 46%. That growth underpins higher-margin contributions and supports earnings resilience amid headwinds. On the regulatory and macro side, digital-ad oversight and rate surprises could cap the upside.

Price Forecasts

Model 3M Target 6M Target Reasoning
G Grok 3M Target $102.00 6M Target $112.00 Reasoning I think Walmart's shift to high-margin advertising will sustain a premium valuation as a defensive powerhouse into 2026Q2. My key catalyst is the fiscal 2027 Q1 earnings report in late November 2026, where updated ad revenue—building on the 46% growth—should confirm margin expansion and justify multiple expansion. The big risk is a Fed rate cut delay at the December 2026 FOMC meeting, sparking rotation out of defensives like WMT. The current P/E of 45.65 prices in years of ad-driven EPS growth, far above Target's 14.9, reflecting Walmart's superior scale and digital pivot that peers can't match.
C Claude 3M Target $102.50 6M Target $108.00 Reasoning Walmart's advertising pivot is real, but the 45.65 P/E is pricing in flawless execution in a defensive rotation that could reverse if rates fall or growth disappoints. My thesis: the stock rallies modestly on continued ad momentum through 2026Q2, but valuation compression is the tail risk. Concrete catalyst: Q2 earnings in August showing advertising sustaining 40%+ growth and net margin stabilization above 3.1% would justify holding the multiple. Concrete risk: if Q2 guidance signals ad growth decelerating below 30% or net margin falls further, institutional money rotates out of the bond-proxy trade. The 45.65 P/E means Walmart is priced for five years of 15%+ earnings growth — achievable only if advertising scales faster than core retail shrinks. Current price $95.09; I see modest upside to $102–108 on execution, but downside to $85 if the ad story stalls.
G Gemini 3M Target $92.00 6M Target $88.00 Reasoning I believe Walmart is currently trapped in a valuation bubble driven by defensive rotation rather than fundamental earnings expansion. My thesis is that the stock will experience a multiple contraction as institutional investors rotate back into higher-yielding assets once interest rate volatility stabilizes. A key catalyst for my 6-month target is the Q3 earnings release, where I expect management to provide more conservative guidance on digital advertising margins. Conversely, a major risk to my downside thesis is a surprise surge in consumer spending that forces analysts to upwardly revise their earnings estimates. Trading at 45.65 times trailing earnings, the market is currently paying a massive premium for a company that is fundamentally struggling to expand its 3.07% net profit margin.
C Chatgpt 3M Target $97.00 6M Target $101.00 Reasoning I think Walmart can drift higher over the next few months on its ad-driven profitability and defensive demand, but upside is capped by the rich valuation. Catalyst: the Q2 earnings print validating sustained advertising growth and solid cash flow. Risk: a slowdown in ad revenue or margin pressures that trigger multiple compression. P/E 45.65 indicates investors are pricing several years of growth into the stock; at that premium, the stock moves higher only if profitability sustains this ad-driven trajectory.

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