Investors Buy Wal-Mart Stores Inc. (WMT) on Weakness on Analyst Downgrade
Investors purchased shares of Wal-Mart Stores Inc. (NYSE:WMT) on weakness during trading hours on Tuesday after BMO Capital Markets lowered their price target on the stock to $63.00. $170.81 million flowed into the stock on the tick-up and $71.79 million flowed out of the stock on the tick-down, for a money net flow of $99.02 million into the stock. Of all companies tracked, Wal-Mart Stores had the 3rd highest net in-flow for the day. Wal-Mart Stores traded down ($0.72) for the day and closed at $67.98
Several other equities analysts have also recently commented on WMT. Vetr raised shares of Wal-Mart Stores from a “hold” rating to a “buy” rating and set a $73.65 price objective for the company in a research note on Monday, June 13th. Nomura reissued a “buy” rating and issued a $81.00 price target on shares of Wal-Mart Stores in a research note on Thursday, June 23rd. Credit Suisse Group AG reissued a “hold” rating on shares of Wal-Mart Stores in a research note on Wednesday, June 22nd. Bank of America Corp. reissued a “neutral” rating and issued a $72.00 price target on shares of Wal-Mart Stores in a research note on Saturday, June 25th. Finally, Jefferies Group reissued a “buy” rating on shares of Wal-Mart Stores in a research note on Wednesday, July 6th. Three research analysts have rated the stock with a sell rating, nineteen have issued a hold rating, nine have assigned a buy rating and two have given a strong buy rating to the company. The company currently has an average rating of “Hold” and an average price target of $74.93.
In other news, major shareholder Alice L. Walton sold 2,100,000 shares of the stock in a transaction that occurred on Friday, September 9th. The shares were sold at an average price of $71.44, for a total value of $150,024,000.00. Following the transaction, the insider now owns 6,748,580 shares in the company, valued at approximately $482,118,555.20. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Steven P. Whaley sold 1,100 shares of the stock in a transaction that occurred on Friday, August 26th. The stock was sold at an average price of $71.46, for a total transaction of $78,606.00. Following the completion of the transaction, the insider now owns 29,464 shares in the company, valued at approximately $2,105,497.44. The disclosure for this sale can be found here. 51.55% of the stock is currently owned by insiders.
Institutional investors have recently modified their holdings of the company. Piershale Financial Group Inc. boosted its position in shares of Wal-Mart Stores by 0.6% in the second quarter. Piershale Financial Group Inc. now owns 1,607 shares of the retailer’s stock valued at $117,000 after buying an additional 10 shares during the period. Gemmer Asset Management LLC boosted its stake in Wal-Mart Stores by 0.4% in the second quarter. Gemmer Asset Management LLC now owns 2,902 shares of the retailer’s stock worth $212,000 after buying an additional 11 shares during the last quarter. Bangor Savings Bank boosted its stake in Wal-Mart Stores by 0.7% in the second quarter. Bangor Savings Bank now owns 2,996 shares of the retailer’s stock worth $218,000 after buying an additional 20 shares during the last quarter. Bradley Foster & Sargent Inc. CT boosted its stake in Wal-Mart Stores by 0.3% in the second quarter. Bradley Foster & Sargent Inc. CT now owns 8,023 shares of the retailer’s stock worth $586,000 after buying an additional 23 shares during the last quarter. Finally, Shinko Asset Management Co. Ltd. boosted its stake in Wal-Mart Stores by 0.4% in the second quarter. Shinko Asset Management Co. Ltd. now owns 7,692 shares of the retailer’s stock worth $562,000 after buying an additional 28 shares during the last quarter. Hedge funds and other institutional investors own 29.55% of the company’s stock.
The stock has a market cap of $208.45 billion, a P/E ratio of 14.51 and a beta of 0.20. The company has a 50 day moving average price of $71.63 and a 200-day moving average price of $70.99.
Wal-Mart Stores (NYSE:WMT) last posted its earnings results on Thursday, August 18th. The retailer reported $1.07 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.02 by $0.05. Wal-Mart Stores had a return on equity of 17.93% and a net margin of 3.04%. The company had revenue of $120.90 billion for the quarter, compared to analyst estimates of $119.33 billion. During the same quarter in the previous year, the firm earned $1.08 earnings per share. The firm’s quarterly revenue was up .5% compared to the same quarter last year. On average, equities analysts forecast that Wal-Mart Stores Inc. will post $4.34 earnings per share for the current year.
Wal-Mart Stores Company Profile
Wal-Mart Stores, Inc is engaged in the operation of retail, wholesale and other units in various formats around the world. The Company offers an assortment of merchandise and services at everyday low prices (EDLP). The Company operates through three segments: Walmart U.S., Walmart International and Sam’s Club.
Receive News & Stock Ratings for Wal-Mart Stores Inc. Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Wal-Mart Stores Inc. and related stocks with our FREE daily email newsletter.