Walmart added to ‘Tactical Underperform’ list at Evercore ISI

Evercore ISI is initiating a negative “Tactical Trading Call” on Walmart ahead of Q4 earnings due on February 20 and adding the stock to the firm’s “Tactical Underperform” list. While the firm believes Walmart is likely to meet Street estimates for Q4, it sees potential near term downside of “around mid single digits for the stock” due to what it believes will likely be conservative guidance and tone on the consumer. With short interest just 2% and most investors positively biased toward the name, Evercore sees risk for “a mild near term correction for the stock,” added the analyst, who has an Outperform rating and $182 price target on Walmart shares.