Walmart share price up 4% after Q4 results revenue beat

Walmart stock rises after a better-than-expected earnings report.

Walmart shares up after positive Q4 results. Walmart’s earnings exceeded Wall Street expectations.

Walmart earnings: key figures

Earnings per share (EPS) $1.41
Revenue $138.79 billion
Net income $3.69 billion
Same-store sales +4.2%
Online sales +43%

Walmart earnings

Walmart earnings per share were $1.41 and surpassed expectations of $1.33. Walmart revenue topped $138.79 billion, slightly more than the predicted $138.65 billion. The retailer’s net income was $3.69 billion with better-than-expected holiday purchases. The US same-store sales were up 4.2%, higher than the projected 3.2%.

Online sales jumped by 43% and was even able to compete with online retail giant Amazon. Walmart achieved the e-commerce sales by acquiring Art.com and women’s intimate apparel line Bare Necessities. Chief executive officer, (CEO), Doug McMillion, wrote a statement about the growth in digital transactions.

‘Progress on initiatives to accelerate growth, along with a favorable economic environment, helped us deliver strong comp sales and gain market share. We're excited about the work we're doing to reach customers in a more digitally-connected way. Our commitment to the customer is clear — we'll be there when, where and how they want to shop and deliver new, convenient experiences that are uniquely Walmart,’ said McMillion in a statement.

McMillon also noted in a call to investors that Walmart’s Q4 results also increased because of the retailer’s grocery pickup and delivery service.

‘Our fulfillment shipping costs are improving as we continue to enhance our [online] assortment. Repeat visits should increase and contribute to improving profitability,’ said McMillon.

What do Walmart’s Q4 results mean for their share price?

Walmart’s Q4 results have meant positive news for its share price. Walmart’s share price has increased 3% since Walmart’s earnings report was released. The retailer’s better-than-expected results could help improve its current share price of $102.09.

How do Walmart’s Q4 results compare to other retailers?

Walmart’s Q4 results surged just as other retailers, like Target and Amazon did in their revenue reports. All the retailers had strong online sales and beat earnings estimates.

What is Walmart’s dividend forecast?

Walmart‘s dividend forecast is very optimistic as the corporation predicted sales growth at 3%. The company also expects net sales to rise 5% and same-store purchases to climb by 3%. The only weak guidance was when Walmart projected 35% sales growth, a decline from 2018. Chief financial officer, (CFO), Brett Briggs, had faith in high consumer confidence for Walmart’s Q1 2019.

‘To us, the consumer looks like they're in pretty good shape. We're always monitoring the consumer and are ready to act if things change, but we feel our guidance is good for the next year and our business model works well in most environments,’ said Briggs.

Walmart’s earnings report is a bright spot among the volatility of the US stock market. Brick-and-mortar retailers have proven that they can hold their own in the age of Amazon.

IGA, may distribute information/research produced by its respective foreign affiliates within the IG Group of companies pursuant to an arrangement under Regulation 32C of the Financial Advisers Regulations. Where the research is distributed in Singapore to a person who is not an Accredited Investor, Expert Investor or an Institutional Investor, IGA accepts legal responsibility for the contents of the report to such persons only to the extent required by law. Singapore recipients should contact IGA at 6390 5118 for matters arising from, or in connection with the information distributed.

The information/research herein is prepared by IG Asia Pte Ltd (IGA) and its foreign affiliated companies (collectively known as the IG Group) and is intended for general circulation only. It does not take into account the specific investment objectives, financial situation, or particular needs of any particular person. You should take into account your specific investment objectives, financial situation, and particular needs before making a commitment to trade, including seeking advice from an independent financial adviser regarding the suitability of the investment, under a separate engagement, as you deem fit.

Please see important Research Disclaimer.

Seize a share opportunity today

Go long or short on thousands of international stocks.

  • Increase your market exposure with leverage
  • Get spreads from just 0.1% on major global shares
  • Trade CFDs straight into order books with direct market access

Live prices on most popular markets

  • Forex
  • Shares
  • Indices
Sell
Buy
Updated
Change
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
Sell
Buy
Updated
Change

Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.

Sell
Buy
Updated
Change
-
-
-
-
-
-
-
-
-
-
-
-
China 300
-
-
-
-

Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 20 mins.

The Momentum Report

Get the week’s momentum report sent directly to your inbox every Monday for FREE. The Week Ahead gives you a full calendar of upcoming key events to monitor in the coming week, as well as commentary and insight from our expert analysts on the major indices to watch.

For more info on how we might use your data, see our privacy notice and access policy and privacy webpage.

You might be interested in…

Find out what charges your trades could incur with our transparent fee structure.

Discover why so many clients choose us, and what makes us a world-leading provider of CFDs.

Stay on top of upcoming market-moving events with our customisable economic calendar.