Positive Outlook for Walmart: Buy Rating Amid Expected Sales and Income Growth

In a report released today, Corey Tarlowe from Jefferies maintained a Buy rating on Walmart (WMT – Research Report), with a price target of $120.00.

Corey Tarlowe’s rating is based on a combination of factors that suggest a positive outlook for Walmart’s stock. One of the key reasons for the Buy rating is the expectation of sales growth in the first quarter, projected to increase by 3-4% year-over-year in constant currency. This growth is anticipated despite certain headwinds such as the leap day and the Easter shift, which are expected to impact sales figures.
Additionally, operating income is forecasted to rise by 0.5-2.0% year-over-year, even with challenges like the leap day and the Vizio acquisition affecting the results. The analysis indicates that while there may be some pressure on margins, the overall financial performance of Walmart is expected to be robust. These factors combined contribute to a favorable view of Walmart’s stock, justifying the Buy rating.

Tarlowe covers the Consumer Cyclical sector, focusing on stocks such as Abercrombie Fitch, Costco, and Foot Locker. According to TipRanks, Tarlowe has an average return of 11.5% and a 54.77% success rate on recommended stocks.

In another report released yesterday, Bernstein also maintained a Buy rating on the stock with a $113.00 price target.