Walmart (NASDAQ:WMT) Shares Down 3.8% – What’s Next?

Walmart Inc. (NASDAQ:WMT) shares dropped 3.8% during mid-day trading on Tuesday . The company traded as low as $128.16 and last traded at $128.85. Approximately 34,602,078 shares traded hands during mid-day trading, a decline of 12% from the average daily volume of 39,358,621 shares. The stock had previously closed at $133.89.

Walmart News Summary

Here are the key news stories impacting Walmart this week:

• Positive Sentiment: Walmart reached a large market-cap milestone and remains a blue‑chip dividend name, reinforcing investor confidence in its scale and defensive appeal. Walmart dividend king tops $1 trillion valuation milestone | WMT
• Positive Sentiment: Analysts note Walmart’s evolution into a tech-like competitor thanks to investments in e‑commerce, advertising and AI — a narrative that supports a higher multiple if growth continues. Walmart Earnings: The Newest ‘Tech’ Stock?
• Positive Sentiment: WMT has posted a strong rally year-to-date, which reflects optimism about holiday sales and execution ahead of earnings. Walmart Stock Surges 20% in 2026: Should Investors Buy Ahead of Earnings?
• Neutral Sentiment: Walmart will report Q4 results this week — its first since listing on Nasdaq and after appointing a new CEO — making guidance and commentary the immediate catalysts. It’s Time to Get Ready for Walmart’s Earnings. Here’s What’s New at the Huge Retailer.
• Neutral Sentiment: Market observers treat Walmart as the retail sector bellwether; its results could influence sentiment for discount/off‑price peers. 3 Discount Retail Stocks to Watch as Earnings Put Valuations to the Test
• Neutral Sentiment: Analyst previews highlight strength in traffic, e‑commerce and ad revenue but warn of tariff effects and cost pressures — factors investors will parse in the print. Walmart’s Q4 Earnings Coming Up: Is WMT Stock Still a Smart Buy?
• Negative Sentiment: Commentary in major outlets flags that Walmart’s shares price in “AI insurance” and look expensive relative to fundamentals, pressuring sentiment after the recent run. Walmart Shares Are Expensive AI Insurance
• Negative Sentiment: Valuation concerns are echoed by analysts who call WMT’s multiple “lofty,” raising the bar for the company to justify continued upside. Walmart Earnings Preview: Tariff Compares Should Get Easier, But Valuation Still Quite Lofty
• Negative Sentiment: Reports point to a shopper shift and tougher retail reality in some segments, which could pressure comps and margins if trends persist. Walmart shopper shift is a brutal reality check for retail

Analysts Set New Price Targets

Several equities analysts have commented on the stock. KeyCorp reiterated an “overweight” rating and issued a $145.00 price objective (up from $128.00) on shares of Walmart in a report on Friday. Barclays reissued an “overweight” rating and issued a $125.00 price target (up from $108.00) on shares of Walmart in a report on Thursday, January 8th. Wells Fargo & Company restated an “overweight” rating and set a $140.00 price objective (up previously from $130.00) on shares of Walmart in a report on Tuesday, February 10th. Guggenheim reaffirmed a “buy” rating and issued a $120.00 price objective (up from $115.00) on shares of Walmart in a report on Friday, November 21st. Finally, Jefferies Financial Group reissued a “buy” rating and set a $132.00 target price on shares of Walmart in a report on Tuesday, February 3rd. Thirty-two equities research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company. According to MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average price target of $128.44.

Walmart Price Performance

The company’s 50-day moving average is $118.51 and its 200-day moving average is $108.65. The firm has a market cap of $1.03 trillion, a price-to-earnings ratio of 52.10, a price-to-earnings-growth ratio of 5.12 and a beta of 0.65. The company has a current ratio of 0.80, a quick ratio of 0.24 and a debt-to-equity ratio of 0.39.

Walmart (NASDAQ:WMT) last issued its earnings results on Thursday, November 20th. The retailer reported $0.62 EPS for the quarter, topping the consensus estimate of $0.60 by $0.02. The firm had revenue of $179.50 billion during the quarter, compared to the consensus estimate of $175.15 billion. Walmart had a return on equity of 21.31% and a net margin of 3.26%.The business’s quarterly revenue was up 5.8% on a year-over-year basis. During the same quarter in the previous year, the firm earned $0.58 earnings per share. Walmart has set its FY 2026 guidance at 2.580-2.630 EPS. Equities research analysts predict that Walmart Inc. will post 2.55 earnings per share for the current year.

Insiders Place Their Bets

In related news, EVP John R. Furner sold 13,125 shares of the firm’s stock in a transaction on Thursday, November 20th. The stock was sold at an average price of $104.75, for a total transaction of $1,374,843.75. Following the completion of the transaction, the executive vice president directly owned 879,815 shares of the company’s stock, valued at $92,160,621.25. This trade represents a 1.47% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO C Douglas Mcmillon sold 19,416 shares of Walmart stock in a transaction that occurred on Friday, December 26th. The stock was sold at an average price of $111.83, for a total value of $2,171,291.28. Following the completion of the transaction, the chief executive officer directly owned 4,315,333 shares in the company, valued at approximately $482,583,689.39. This represents a 0.45% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 227,566 shares of company stock worth $26,790,653 over the last quarter. 0.10% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the business. Collier Financial acquired a new position in shares of Walmart during the 3rd quarter valued at $25,000. Access Investment Management LLC bought a new stake in Walmart in the second quarter valued at $26,000. Entrust Financial LLC acquired a new position in shares of Walmart during the fourth quarter valued at about $27,000. Your Advocates Ltd. LLP bought a new position in shares of Walmart during the 3rd quarter worth about $28,000. Finally, Redmont Wealth Advisors LLC acquired a new stake in shares of Walmart in the 3rd quarter valued at about $30,000. 26.76% of the stock is owned by institutional investors and hedge funds.

Walmart Company Profile

Walmart is a multinational retail corporation that operates a broad portfolio of store formats and digital services. Its core business includes large-format supercenters, discount department stores, neighborhood grocery stores and a membership warehouse chain, Sam’s Club. The company’s merchandising mix covers groceries, household goods, apparel, electronics and pharmacy services, supplemented by private-label products and category-specific offerings. Walmart pairs its physical store network with online platforms and mobile applications to provide omnichannel shopping, fulfillment and delivery options for consumers and businesses.

The company was founded by Sam Walton, who opened the first store in Rogers, Arkansas in 1962; it is headquartered in Bentonville, Arkansas.