Walmart (NYSE:WMT) Shares Down 6.4% – Should You Sell?

Walmart Inc. (NYSE:WMT)’s share price dropped 6.4% during mid-day trading on Thursday . The company traded as low as $96.68 and last traded at $97.29. Approximately 29,126,897 shares traded hands during mid-day trading, an increase of 88% from the average daily volume of 15,524,046 shares. The stock had previously closed at $104.00.

Analysts Set New Price Targets

A number of equities analysts recently weighed in on the stock. Wells Fargo & Company increased their price objective on shares of Walmart from $100.00 to $108.00 and gave the stock an “overweight” rating in a research report on Monday, February 3rd. UBS Group raised their price target on Walmart from $100.00 to $113.00 and gave the stock a “buy” rating in a research report on Friday, January 31st. StockNews.com downgraded Walmart from a “strong-buy” rating to a “buy” rating in a report on Wednesday, November 20th. Stifel Nicolaus raised their target price on Walmart from $89.00 to $94.00 and gave the company a “hold” rating in a report on Tuesday, December 10th. Finally, Tigress Financial boosted their price target on shares of Walmart from $86.00 to $115.00 and gave the stock a “buy” rating in a research note on Friday, December 13th. Two equities research analysts have rated the stock with a hold rating, twenty-nine have assigned a buy rating and one has issued a strong buy rating to the stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $101.87.

Walmart Trading Down 6.4 %

The company has a current ratio of 0.85, a quick ratio of 0.23 and a debt-to-equity ratio of 0.42. The business has a 50 day moving average price of $95.56 and a 200-day moving average price of $86.17. The firm has a market capitalization of $782.24 billion, a PE ratio of 39.99, a P/E/G ratio of 4.39 and a beta of 0.55.

Walmart (NYSE:WMT) last released its quarterly earnings data on Thursday, February 20th. The retailer reported $0.66 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.64 by $0.02. Walmart had a return on equity of 21.78% and a net margin of 2.92%. Analysts expect that Walmart Inc. will post 2.48 earnings per share for the current year.

Walmart Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, April 7th. Investors of record on Friday, March 21st will be issued a dividend of $0.235 per share. This represents a $0.94 dividend on an annualized basis and a yield of 0.97%. This is an increase from Walmart’s previous quarterly dividend of $0.21. Walmart’s payout ratio is currently 34.06%.

Insider Activity

In other Walmart news, Director Robert Edward Jr. Moritz bought 5,446 shares of the business’s stock in a transaction on Wednesday, November 27th. The stock was bought at an average price of $91.81 per share, for a total transaction of $499,997.26. Following the completion of the transaction, the director now owns 7,805 shares in the company, valued at approximately $716,577.05. The trade was a 230.86 % increase in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, EVP John R. Furner sold 13,125 shares of the stock in a transaction that occurred on Wednesday, November 27th. The shares were sold at an average price of $92.00, for a total transaction of $1,207,500.00. Following the completion of the sale, the executive vice president now owns 579,915 shares in the company, valued at $53,352,180. This represents a 2.21 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders sold 175,177 shares of company stock worth $16,403,728. Company insiders own 45.58% of the company’s stock.

Hedge Funds Weigh In On Walmart

A number of institutional investors have recently made changes to their positions in the stock. FPC Investment Advisory Inc. purchased a new position in Walmart during the fourth quarter worth about $25,000. Peterson Financial Group Inc. purchased a new position in Walmart in the third quarter valued at about $26,000. Horizon Financial Services LLC lifted its stake in shares of Walmart by 1,007.7% during the fourth quarter. Horizon Financial Services LLC now owns 288 shares of the retailer’s stock worth $26,000 after purchasing an additional 262 shares in the last quarter. Fiduciary Advisors Inc. purchased a new stake in shares of Walmart in the fourth quarter worth about $27,000. Finally, Voisard Asset Management Group Inc. grew its stake in shares of Walmart by 77.3% in the third quarter. Voisard Asset Management Group Inc. now owns 399 shares of the retailer’s stock valued at $32,000 after buying an additional 174 shares in the last quarter. 26.76% of the stock is owned by institutional investors and hedge funds.

Walmart Company Profile

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. It operates supercenters, supermarkets, hypermarkets, warehouse clubs, cash and carry stores, and discount stores under Walmart and Walmart Neighborhood Market brands; membership-only warehouse clubs; ecommerce websites, such as walmart.com.mx, walmart.ca, flipkart.com, PhonePe and other sites; and mobile commerce applications.