Key statistics

Is WMT a good stock to buy in 2026?

Walmart Inc. (WMT) shows a mixed but generally positive outlook for investors. While its P/E ratio of 47.36x is slightly below the Discount Stores sector average of 48.4x, suggesting a fair valuation, its robust DCF fair value of $148.11 indicates a potential 13.9% undervaluation. The strong analyst consensus, with 71.9% recommending a ‘Buy,’ further bolsters confidence in WMT stock.

2026 WMT price scenarios

Based on analyst consensus of $137.22 from 64 analysts. Not a prediction by Alert Invest.

About Walmart Inc. (WMT)

Walmart Inc. engages in the operation of retail, wholesale, other units, and eCommerce worldwide. The company operates through three segments: Walmart U.S., Walmart International, and Sam’s Club.

John R. Furner serves as the CEO of Walmart Inc., a global retail giant known for its expansive operations in the retail, wholesale, and e-commerce sectors. With a massive global presence, Walmart’s distinctive strengths include its unparalleled scale, extensive supply chain, and strong brand recognition, which collectively allow it to offer competitive pricing and reach a vast customer base worldwide. The company’s ability to adapt its retail models, from supercenters to online fulfillment, positions it uniquely in the Consumer Defensive sector.

WMT competitive moat and business analysis

Walmart Inc. leverages its immense scale and efficient supply chain as primary competitive advantages, allowing it to maintain competitive pricing and generate significant revenue. Despite its massive top-line figures, WMT operates with a relatively low net margin of 3.07%, typical for high-volume discount retailers. Profitability metrics like ROE and ROIC are currently N/A in the provided data, but the company’s sheer operational footprint typically indicates a strong ability to generate cash flow from its assets, even with tight margins. This operational efficiency is crucial for its market position in the Consumer Defensive sector.

Walmart’s business model is diversified across its three main segments: Walmart U.S., Walmart International, and Sam’s Club, all contributing to its substantial reported revenue of $713.16 billion. While specific revenue breakdowns by segment or geographical region for fiscal year 2026 are not detailed in the provided data, the company’s global presence underscores its broad market reach and ability to cater to diverse consumer needs across different economic landscapes. This diversification helps mitigate risks associated with reliance on a single market or retail format, reinforcing its status as a leading Discount Stores operator.

The company’s revenue growth of 4.7% indicates a steady expansion, reflecting its ability to adapt and grow even in mature markets. During the Q4 FY2025 earnings call, Steph Wissink noted, “We appreciate you joining us and your interest in Walmart. Joining me today from our home office in Bentonville are Walmart’s CEO, Doug McMillon; and CFO, John David Rainey. Doug and John David will first share their views on the quarter, and then we’ll open up the line for your questions.” This ongoing engagement with investors highlights the company’s transparency and focus on delivering shareholder value through strategic initiatives, further solidifying its competitive position and long-term moat. The company constantly innovates its e-commerce platforms and in-store experiences to maintain its market dominance.

When evaluating WMT stock, it’s essential to compare its performance against key competitors within the Consumer Defensive sector, specifically Discount Stores. Walmart’s vast network and market dominance set it apart, but peers like BJ’s Wholesale Club (BJ), Costco Wholesale Corporation (COST), and Dollar General Corporation (DG) also offer significant value to consumers. Each competitor has unique strengths and market positions, influencing their respective valuations and growth trajectories. Analyzing these comparisons can provide deeper insights into WMT valuation relative to the broader industry.

Walmart Inc. analyst rating

Based on 64 analysts. 71.9% rate WMT Buy or Strong Buy.

A 71.9% “Buy” rating for WMT stock is considered robust within the Consumer Defensive sector, indicating strong confidence among analysts in Walmart’s stability and growth prospects. This level of consensus suggests that WMT is a good stock in the eyes of many professionals, reflecting its consistent performance and strategic initiatives.

Is WMT undervalued or overvalued?

Evaluating WMT valuation reveals a nuanced picture. The company’s P/E ratio stands at 47.36x, which is marginally lower than the Discount Stores sector average of 48.4x, suggesting that WMT stock is trading at a fair, if not slightly discounted, multiple compared to its industry peers. This indicates that while the market acknowledges Walmart’s strong position, it isn’t currently valuing it at an excessive premium based on earnings.

Furthermore, the Discounted Cash Flow (DCF) model estimates WMT’s fair value at $148.11, implying a substantial 13.9% upside from its current price. This DCF analysis suggests that, from a fundamental perspective, WMT stock may be undervalued, offering a compelling entry point for value-oriented investors. The combination of a relatively fair P/E and a positive DCF signal indicates potential for WMT to appreciate towards its intrinsic value over time.

WMT financial health & key metrics

For value investors considering WMT stock, the current financial health presents a mixed but cautiously optimistic profile. While the net margin and FCF yield appear modest and the current ratio is tight, the P/E ratio is fair relative to its sector, and the DCF model points to WMT being undervalued by nearly 14%. The moderate debt-to-equity ratio adds a layer of stability. These factors suggest that despite some areas for improvement in efficiency, Walmart’s underlying intrinsic value and consistent revenue growth make it an appealing candidate for long-term positions.

Walmart Inc. earnings history & next report

Walmart Inc. reported EPS of $0.74, beating estimates by 1.79%. Next earnings: 2026-05-21 with EPS estimate of $0.65.

Investors will be keenly watching Walmart Inc.’s next earnings report on 2026-05-21, where the estimated EPS is $0.65. Given that the company recently beat estimates with an EPS of $0.74, surpassing projections by 1.79%, attention will be on whether this positive momentum can be sustained. Key areas of focus for the upcoming report will include commentary on consumer spending trends, the performance of its e-commerce initiatives, and any updates on cost management strategies amid ongoing inflationary pressures.

WMT daily short volume

Short volume data from FINRA CNMS Consolidated — shares sold short in the most recent US trading session. A high short ratio can signal bearish conviction or a potential short squeeze. Updated every trading day.

WMT insider trading activity

Corporate insiders must report trades to the SEC within two business days.

Source: SEC Form 4 via EDGAR · Data: Financial Modeling Prep · Not investment advice

Recent WMT analyst rating changes

Walmart Inc. stock news today

How does WMT compare to its peers?

When considering an investment in WMT stock, it’s beneficial to analyze how Walmart compares to other significant players in the Consumer Defensive sector. These companies, operating in the Discount Stores industry, often exhibit similar characteristics regarding market stability and consumer reliance, but each brings its own unique operational model and market positioning.

FAQ — Walmart Inc. (WMT) stock