To The Moon

In this earning season reporting, $Wal-Mart(WMT)$ has beaten its quarterly earnings and revenue estimates. The discounter made significant e-commerce gains, drove profits with newer businesses like advertising and won over more high-income shoppers. Q1 2024 earnings. Below is Walmart’s reported earnings for the tending 30 Apr 2024 versus Wall Street expected, according to a survey of analysts by LSEG: Earnings per share: $0.60 adjusted vs $0.52 expected. Revenue: $161.51 billion vs $159.50 billion expected. Net income: $5.10 billion vs $1.67 billion. that is a +305.39% gain YoY. FY 2024 Forecast. Equally important, Walmart said it now expects to hit the high-end or slightly top its previous full-year guidance. Walmart expects: Net sales growth of 3% to 4%. Adjusted earnings per share of between $2.23 and $2.37. As US’s largest retailer and private employer, Walmart is often viewed as a bellwether for the US economy. Truth be told, it has generally fared better during an inflationary period than other retailers. This is because it sells staples like groceries and has a value-oriented reputation. One of the many factors boosting Walmart’s grocery business is the widening gap between the price of cooking at home and buying food at fast-food chains or restaurants. Additionally, shoppers especially higher incomes ones– appreciate the convenience that Walmart offers. To ensure success and retain the more affluent households, Walmart recently launched a new private-label grocery brand, that includes bolder flavors, plant-based items and more. For the first time, its delivery business surpassed its store pickup in terms of volume. Customers - regulars or new ones are visiting Walmart more frequently be it online or at its brick-and-mortar stores. New Businesses. US Walmart’s e-Commerce sales shot up by +22% YoY. This was fueled by store pickup and delivery of online orders, as well as company’s growing third-party marketplace. Walmart is looking beyond retail to drive profits higher and fend off rivals like $Amazon.com(AMZN)$ . It has introduced things like (a) advertising and (b) subscription-based membership program - Walmart+. These new initiatives have lifted profits during the quarter and contributed to its operating income growth outpacing its sales growth. Walmart’s global advertising business grew +24% during the quarter, including +26% growth for the US market segment. CFO John David Rainey said 33% of the company’s YoY operating income gains came from the newer businesses. Walmart further showed how keen they are to make more ad revenue, by acquiring Vizio, a smart TV company, for $2.3 billion in February 2024. Stock Price Movement. Shares of Walmart closed on Wednesday at $59.83, bringing the company’s market share to $482.22 billion. As of Wednesday’s close, the company’s stock is up nearly 14% YTD, surpassing the roughly 11% gains of $S&P 500(.SPX)$ during the same period. With the latest CPI inflation cooling in April 2024, does this signal better days are ahead for Walmart? Must Read: Click on below titles to access. Give a like & help to repost ok. Thanks. FFIE : What's Happening? Meme Rally ? Robotaxi: Waymo Wins. Tesla Loses. Buy GOOG ! Wednesday US Market : Spike or Dip ? Plan B Ready ! Do you think Walmart is one of the must have / go to stock in any investor’s portfolio? Do you think other retailers like $Costco(COST)$ and $Target(TGT)$ are fair competitors for considerations ? If you find this post interesting, give it wings! ️ Repost and share the insights ? Do consider “Follow me” and get firsthand read of my daily new post. Thank you. @Daily_Discussion @TigerPM @TigerStars @Tiger_SG @TigerEvents