Walmart stock tumbles 9% after outlook disappoints Wall Street
The retailer beat profit expectations on a $2.9 billion tariff refund, but U.S. comparable sales rose just 2.6%, below FactSet estimates.
- Walmart shares tumbled more than 8% on Thursday after the retailer reported its slowest U.S. comparable-sales growth in six years at 2.6% and issued cautious third-quarter guidance projecting sales up 3% to 3.75%.
- Chief Financial Officer John David Rainey said rising gasoline prices above $4 and federal limits on Medicare drug prices are forcing consumers to make trade-offs, pressuring low-income shoppers' spending.
- Boosted by a $2.9 billion tariff refund, Walmart's quarterly profit reached $6.37 billion, topping Wall Street expectations while the company temporarily lowered prices on 11,000 items.
- Walmart's domestic e-commerce sales rose 24%, now representing 23% of total U.S. business, as the retailer captures a larger share of wealthier households earning over $100,000 annually.
- The company expects to book an additional $2 billion in incremental fuel costs this year while projecting full-year sales growth between 4% and 5%, signaling sustained economic headwinds.
43 Articles
43 Articles
Walmart Reports Weakest Sales Growth In Six Years
Semafor reports: Walmart posted the slowest US sales growth in six years on Thursday, the latest sign that consumers are feeling strapped. Same-store sales missed analyst estimates, with CFO John David Rainey telling CNBC “consumers have been more pressured” than earlier this year. Walmart’s sheer scale makes it a bellwether for Americans’ economic health, and its results mirror what other big retailers have indicated in recent weeks. Higher fue…
Independent Journal Review
Conservative Daily NewsWalmart Posts Slowest Sales Numbers In Years, Blames Iran War-Driven Gas Prices For Belt-Tightening
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The Daily Upside
BizTocFor Walmart Investors, Sagging Same-Store Sales Growth Overshadows Bottom-Line Beat
The world’s largest retailer, Walmart is widely seen as a bellwether for the US economy and consumer sentiment. On Thursday, the company reported second-quarter earnings that beat Wall Street’s expectations, raised its annual sales outlook and revealed a record-breaking tariff refund. Naturally, shares in Walmart … fell 9.8%. That’s because comparable sales growth, a closely watched metric, came in at the lowest level in more than six years, lea…
Walmart is cautious with expectations after slowest sales growth in 6 years - WXXV News 25
By ANNE D’INNOCENZIO NEW YORK (AP) — Walmart reported its slowest growth in U.S. comparable sales in six years during its most recent quarter, and the retailer’s guidance for the rest of the year was seen as cautious by Wall Street. Walmart’s second quarter fanned anxiety about the financial well-being of low-income shoppers who are spending cautiously as prices rise at the gas pump and everywhere else. Company shares tumbled more than 8% Thur…
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