Yahoo Finance Walmart (WMT) is a Top-Ranked Value Stock: Should You Buy?
For new and old investors, taking full advantage of the stock market and investing with confidence are common goals.
Achieving those goals is made easier with the Zacks Style Scores, a unique set of guidelines that rates stocks based on popular investing methodologies, namely value, growth, and momentum. The Style Scores can help you narrow down which stocks are better for your portfolio and which ones can beat the market over the long-term.
Why Investors Should Pay Attention to This Value Stock
Value investors love finding good stocks at good prices, especially before the broader market catches on to a stock's true value. Utilizing ratios like P/E, PEG, Price/Sales, and Price/Cash Flow, the Value Style Score identifies the most attractive and most discounted stocks.
Walmart (WMT)
Walmart Inc. has evolved from just being a traditional brick-and-mortar retailer into an omnichannel player. In this regard, acquisitions; partnerships; delivery programs like Walmart + and Express Delivery; and investment in online e-commerce platform Flipkart are noteworthy. These position the company to keep pace with the changing retail ecosystem and stay firm in the presence of rivals like Amazon and Target. Markedly, Walmart’s product offerings include almost everything from grocery to cosmetics, electronics to stationery, home furnishings to health and wellness products, and apparel to entertainment products, to name a few.
WMT is a Zacks Rank #2 (Buy) stock, with a Value Style Score of B and VGM Score of A. Shares are currently trading at a forward P/E of 25X for the current fiscal year compared to the Retail - Supermarkets industry's P/E of 12.3X. Additionally, WMT has a PEG Ratio of 3.8 and a Price/Cash Flow ratio of 15.9X. Value investors should also note WMT's Price/Sales ratio of 0.7X.
A company's earnings performance is important for value investors as well. For fiscal 2025, one analyst revised their earnings estimate higher in the last 60 days for WMT, while the Zacks Consensus Estimate has increased $0.02 to $2.36 per share. WMT also holds an average earnings surprise of 7.3%.
WMT should be on investors' short lists because of its impressive earnings and valuation fundamentals, a good Zacks Rank, and strong Value and VGM Style Scores.
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Walmart Inc. (WMT) : Free Stock Analysis Report
