What is the fair value of Walmart stock?
As of 2024-04-21, the Fair Value of Walmart Inc (WMT) is 48.12 USD. This value is based on the Peter Lynch's Fair Value formula. With the current market price of 59.53 USD, the upside of Walmart Inc is -19.2%.
As of 2024-04-16, the Intrinsic Value of Walmart Inc (WMT) is 62.40 USD. This Walmart valuation is based on the model Discounted Cash Flows (Growth Exit 5Y). With the current market price of 59.93 USD, the upside of Walmart Inc is 4.1%.
Fair Value Estimate for Walmart
With its 2-star rating, we believe Walmart's stock is overvalued compared with our long-term fair value estimate, which we have raised to $50 per share from $49 following its most recent earnings report and 3-for-1 stock split, primarily due to the time value of money.
At this time, the company appears to be undervalued. Walmart maintains a prevalent Real Value of $89.22 per share. The last-minute price of the company is $59.79.
Walmart's book value per share for the quarter that ended in Jan. 2024 was $10.41. During the past 12 months, Walmart's average Book Value Per Share Growth Rate was 10.00% per year. During the past 3 years, the average Book Value Per Share Growth Rate was 2.90% per year.
From fiscal 2024 to fiscal 2026, analysts expect Walmart's revenue to rise at a CAGR of 4% as its EPS grows at a CAGR of 35%. Its stock still looks reasonably valued at 26 times forward earnings, its dividend offers a decent forward yield of 1.4%, and management has raised the payout annually for 51 consecutive years.
Walmart has 8.32% upside potential, based on the analysts' average price target. Is WMT a Buy, Sell or Hold? Walmart has a conensus rating of Strong Buy which is based on 25 buy ratings, 3 hold ratings and 0 sell ratings.
30, 2024 — Walmart Inc. (NYSE: WMT) announced that it will conduct a split of its outstanding shares of common stock at a ratio of 3:1. The stock split is part of Walmart's ongoing review of optimal trading and spread levels and its desire for its associates to feel that purchasing shares is easily within reach.
Walmart stock has received a consensus rating of buy. The average rating score is Aa2 and is based on 94 buy ratings, 5 hold ratings, and 0 sell ratings.
Walmart is also cash rich. The company has generated cash flow growth of 3.5%, and is expected to report cash flow expansion of 6% in 2025. WMT should be on investors' short lists because of its impressive growth fundamentals, a good Zacks Rank, and strong Growth and VGM Style Scores.
How high can Walmart stock go?
Stock Price Forecast
The 29 analysts with 12-month price forecasts for Walmart stock have an average target of 62.77, with a low estimate of 54.33 and a high estimate of 76. The average target predicts an increase of 5.44% from the current stock price of 59.53.
Walmart stock price stood at $59.53
According to the latest long-term forecast, Walmart price will hit $100 by the end of 2024 and then $110 by the middle of 2026. Walmart will rise to $125 within the year of 2027, $150 in 2029 and $200 in 2034.
Jim Walton owns the most shares of Walmart (WMT). The ownership structure can impact the company's decision making, as large institutional investors may exert influence on the company's management and can also affect the company's stock price with their buying and selling patterns.
Current and historical gross margin, operating margin and net profit margin for Walmart (WMT) over the last 10 years. Profit margin can be defined as the percentage of revenue that a company retains as income after the deduction of expenses. Walmart net profit margin as of January 31, 2024 is 2.39%. Walmart Inc.
The closing price for Walmart (WMT) in 1984 was $0.24, on December 31, 1984. It was down 2.7% for the year. The latest price is $60.08.
There are about 10,500 Walmart locations across 20 different countries. Jim Walton, Alice Walton, and Rob Walton are the top three individual shareholders of Walmart. Walmart's largest institutional investors include the John T. Walton Estate Trust, Vanguard Group, and BlackRock.
It's tempting to recommend Target, with its cheaper valuation and a business that is turning around. But Walmart's demonstrated resilience in 2023 and its strong momentum going into 2024 justify its stock's higher valuation. At the two stocks' current valuations, Walmart stock looks like the better buy.
As for why Walmart decided to split its stock, the company said it wanted to lower WMT's share price so it was easier for its employees to purchase shares in the company via its employee stock purchase plan.
At that price, investors are paying a lot for Walmart's modest growth prospects. Walmart is a safe stock that has a long track record of raising its dividend, but investors should understand that that's what they're paying up for. For the right kind of investor, Walmart is a smart buy.
This part of its business produced fiscal 2024 revenue of $114.6 billion, up over 13% from 2023. A long history of dividends adds the icing on the cake, providing a source of passive income. These various factors combine to make Walmart a worthy long-term investment.
How much was $1000 in Walmart stock 1970?
Investing $1,000 In Walmart IPO: Walmart offered shares for $16.50 on Oct. 1, 1970 for its IPO. A $1,000 investment could have purchased 60.61 shares of Walmart stock.
| Stock | 2024 return through March 31 |
|---|---|
| Avidity Biosciences Inc. (RNA) | 182% |
| Arcutis Biotherapeutics Inc. (ARQT) | 206.8% |
| Janux Therapeutics Inc. (JANX) | 250.9% |
| Trump Media & Technology Group Corp. (DJT) | 254.1% |
The company does a whole lot of different things for its broad base of customers. Consequently, even if there's a recession coming, people won't stop suddenly shopping at Walmart – and that's why Walmart stock is such a great defensive pick in 2024.
Future Growth
Walmart is forecast to grow earnings and revenue by 10.7% and 3.8% per annum respectively. EPS is expected to grow by 11.5% per annum. Return on equity is forecast to be 22% in 3 years.
The closing price for Walmart (WMT) in 1972 was $0.01, on December 29, 1972. It was up 7% for the year. The latest price is $59.14.
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