Walmart (WMT) Stock Analysis
This is a peer-relative look at Walmart (WMT): its performance, risk, profitability, growth, financial strength, dividend, and valuation are each measured against its Consumer Staples Distribution & Retail peers, so every number reads in context rather than in isolation.
Company Profile
| Profile Item | WMT |
|---|---|
| Name | Walmart Inc. |
| Country/Region | United States |
| GICS Sector | Consumer Staples |
| GICS Industry Group | Consumer Staples Distribution & Retail |
| GICS Industry | Consumer Staples Distribution & Retail |
| GICS Sub-Industry | Consumer Staples Merchandise Retail |
| Market Capitalization | 878.49 billion USD |
| Currency | USD |
| Exchange | Nasdaq |
| Listing Date | August 25, 1972 |
| Security Type | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | Current stock: WMT | Industry group median |
|---|---|---|
| Total Return (1Y) | 16.35% | 12.78% |
| Total Return (3Y, Annualized) | 29.28% | 19.83% |
| Total Return (5Y, Annualized) | 20.12% | 13.33% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
| Metric | Current stock: WMT | Industry group median |
|---|---|---|
| Volatility (1Y, Annualized) | 24.54% | 34.86% |
| Beta (5Y) | 0.61 | 0.65 |
| Max Drawdown (5Y) | -25.74% | -38.04% |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | Current stock: WMT | Industry group median |
|---|---|---|
| Sharpe Ratio (1Y) | 0.50 | 0.29 |
| Sortino Ratio (1Y) | 0.74 | 0.47 |
Profitability
ROE (TTM)
Walmart (WMT) posts ROE of 24.13%, in the upper peer quartile. That suggests the company earns more from each dollar of shareholders’ equity than most industry peers, a useful capital-efficiency signal.
WMT
Consumer Staples Distribution & Retail industry group
24.13%
Group distribution
- Max
- 37.28%
- WMT
- 24.13%
- Q3
- 22.55%
- Median
- 14.81%
- Q1
- 8.71%
- Min
- -2.30%
Largest peers
- SYY
- 81.90%
- COST
- 29.15%
- WMT
- 24.13%
- TGT
- 22.02%
- CASY
- 19.15%
- DG
- 18.91%
- KR
- 13.78%
Net Margin (TTM)
Walmart (WMT) keeps 3.14% of revenue as net profit, roughly in line with the peer group’s normal net margin range. Its full cost stack is taking a typical share of sales for the industry.
WMT
Consumer Staples Distribution & Retail industry group
3.14%
Group distribution
- Max
- 6.51%
- Q3
- 3.43%
- WMT
- 3.14%
- Median
- 2.27%
- Q1
- 1.36%
- Min
- -0.12%
Largest peers
- CASY
- 4.07%
- DG
- 3.63%
- TGT
- 3.24%
- WMT
- 3.14%
- COST
- 3.01%
- SYY
- 2.08%
- KR
- 0.71%
Operating Margin (TTM)
Walmart (WMT) turns 4.22% of revenue into operating profit, roughly in line with the peer group’s normal operating margin range. Its core cost structure looks typical for the industry.
WMT
Consumer Staples Distribution & Retail industry group
4.22%
Group distribution
- Max
- 9.24%
- Q3
- 5.36%
- WMT
- 4.22%
- Median
- 3.67%
- Q1
- 1.28%
- Min
- -0.11%
Largest peers
- DG
- 5.92%
- CASY
- 5.35%
- TGT
- 4.52%
- WMT
- 4.22%
- SYY
- 3.75%
- COST
- 3.67%
- KR
- 3.22%
Profitability Metrics
| Metric | Current stock: WMT | Industry group median |
|---|---|---|
| ROE (TTM) | 24.13% | 14.81% |
| ROA (TTM) | 6.84% | 5.63% |
| Net Margin (TTM) | 3.14% | 2.27% |
| Operating Margin (TTM) | 4.22% | 3.67% |
| Gross Margin (TTM) | 24.98% | 24.61% |
Growth
Revenue Growth
Walmart (WMT) grew revenue 4.73%, roughly around the peer group's normal range. Top-line momentum looks broadly typical for the industry.
EPS Growth
Walmart (WMT) grew earnings per share 13.28%, roughly around the peer group's normal range. Bottom-line momentum looks broadly typical for the industry.
Growth Metrics
| Metric | Current stock: WMT | Industry group median |
|---|---|---|
| Revenue Growth (YoY) | 4.73% | 5.70% |
| Revenue Growth (3Y CAGR) | 5.27% | 5.27% |
| EPS Growth (YoY) | 13.28% | 1.27% |
| EPS Growth (3Y CAGR) | 24.25% | 12.38% |
Financial Strength
Current Ratio (MRQ)
Walmart (WMT) has current ratio of 0.77, in the tighter-liquidity quartile for its industry. The short-term cushion is thinner than most peers carry, even if the absolute comfort level still depends on the business model.
WMT
Consumer Staples Distribution & Retail industry group
0.77
Group distribution
- Max
- 1.52
- Q3
- 1.35
- Median
- 1.17
- Q1
- 0.97
- WMT
- 0.77
- Min
- 0.60
Largest peers
- SYY
- 1.33
- DG
- 1.17
- COST
- 1.07
- CASY
- 1.01
- TGT
- 0.93
- KR
- 0.79
- WMT
- 0.77
Debt / Equity (MRQ)
Walmart (WMT) has debt-to-equity ratio of 0.75, roughly in line with the peer group’s normal leverage range. Its mix of debt and equity looks typical for the industry.
WMT
Consumer Staples Distribution & Retail industry group
0.75
Group distribution
- Max
- 3.40
- Q3
- 1.88
- Median
- 1.35
- WMT
- 0.75
- Q1
- 0.68
- Min
- 0.00
Largest peers
- SYY
- 6.70
- KR
- 3.73
- DG
- 1.79
- TGT
- 1.18
- WMT
- 0.75
- CASY
- 0.74
- COST
- 0.60
Financial Strength Metrics
| Metric | Current stock: WMT | Industry group median |
|---|---|---|
| Current Ratio (MRQ) | 0.77 | 1.17 |
| Debt / Equity (MRQ) | 0.75 | 1.35 |
| Net Debt / EBITDA | 1.45 | 2.64 |
Dividends
Dividend Yield (TTM)
Walmart (WMT) has dividend yield of 0.85%, in the industry’s normal income range. It provides a meaningful dividend without the red flag of an unusually high headline yield.
WMT
Consumer Staples Distribution & Retail industry group
0.85%
Group distribution
- Max
- 4.01%
- Q3
- 1.73%
- WMT
- 0.85%
- Median
- 0.26%
- Q1
- 0.00%
- Min
- 0.00%
Largest peers
- TGT
- 3.25%
- SYY
- 2.67%
- DG
- 1.89%
- KR
- 1.80%
- WMT
- 0.85%
- COST
- 0.57%
- CASY
- 0.26%
Dividend Payout Ratio (TTM)
Walmart (WMT) has payout ratio of 33.54%, above the industry’s usual payout band. A larger share of earnings is going to dividends, so the cushion narrows if profit weakens.
WMT
Consumer Staples Distribution & Retail industry group
33.54%
Group distribution
- Max
- 60.00%
- WMT
- 33.54%
- Q3
- 30.32%
- Median
- 12.02%
- Q1
- 0.00%
- Min
- 0.00%
Largest peers
- KR
- 80.12%
- SYY
- 60.00%
- TGT
- 59.97%
- WMT
- 33.54%
- DG
- 33.38%
- COST
- 27.01%
- CASY
- 11.90%
Dividend Metrics
| Metric | Current stock: WMT | Industry group median |
|---|---|---|
| Dividend Yield (TTM) | 0.85% | 0.26% |
| Dividend Payout Ratio (TTM) | 33.54% | 12.02% |
Valuation
P/E Ratio (TTM)
Walmart (WMT) trades at P/E ratio of 39.57, in the richer earnings-multiple quartile for its industry. That premium needs support from growth, durable earnings, or stronger business quality.
WMT
Consumer Staples Distribution & Retail industry group
39.57
Group distribution
- Max
- 52.05
- WMT
- 39.57
- Q3
- 36.20
- Median
- 21.57
- Q1
- 18.03
- Min
- 12.01
Largest peers
- COST
- 47.17
- CASY
- 45.24
- WMT
- 39.57
- KR
- 34.19
- SYY
- 22.44
- TGT
- 18.44
- DG
- 17.63
P/S Ratio (TTM)
Walmart (WMT) trades at 1.21 on P/S ratio, in the higher sales-valuation quartile. Investors are paying up for each dollar of revenue, so stronger margins, growth, or revenue quality need to carry that price.
WMT
Consumer Staples Distribution & Retail industry group
1.21
Group distribution
- Max
- 1.81
- WMT
- 1.21
- Q3
- 0.88
- Median
- 0.50
- Q1
- 0.25
- Min
- 0.02
Largest peers
- CASY
- 1.81
- COST
- 1.40
- WMT
- 1.21
- DG
- 0.63
- TGT
- 0.59
- SYY
- 0.46
- KR
- 0.24
P/B Ratio (MRQ)
Walmart (WMT) trades at 9.32 on P/B ratio, in the higher book-value quartile. The market is paying a premium to book, so stronger ROE, cleaner assets, or a better growth profile need to justify it.
WMT
Consumer Staples Distribution & Retail industry group
9.32
Group distribution
- WMT
- 9.32
- Max
- 9.32
- Q3
- 6.34
- Median
- 4.11
- Q1
- 2.30
- Min
- 0.65
Largest peers
- COST
- 24.93
- SYY
- 16.91
- WMT
- 9.32
- CASY
- 8.02
- KR
- 6.25
- TGT
- 3.84
- DG
- 3.07
Valuation Metrics
| Metric | Current stock: WMT | Industry group median |
|---|---|---|
| P/E Ratio (TTM) | 39.57 | 21.57 |
| P/S Ratio (TTM) | 1.21 | 0.50 |
| P/B Ratio (MRQ) | 9.32 | 4.11 |
| Free Cash Flow Yield (TTM) | 0.78% | 4.53% |