Back to top

Image: Bigstock

Countdown to Walmart (WMT) Q4 Earnings: A Look at Estimates Beyond Revenue and EPS

Read MoreHide Full Article

Wall Street analysts forecast that Walmart (WMT - Free Report) will report quarterly earnings of $1.64 per share in its upcoming release, pointing to a year-over-year decline of 4.1%. It is anticipated that revenues will amount to $170.49 billion, exhibiting an increase of 3.9% compared to the year-ago quarter.

The current level reflects an upward revision of 0.1% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period.

Prior to a company's earnings release, it is of utmost importance to factor in any revisions made to the earnings projections. These revisions serve as a critical gauge for predicting potential investor behaviors with respect to the stock. Empirical studies consistently reveal a strong link between trends in earnings estimate revisions and the short-term price performance of a stock.

While investors typically use consensus earnings and revenue estimates as a yardstick to evaluate the company's quarterly performance, scrutinizing analysts' projections for some of the company's key metrics can offer a more comprehensive perspective.

Bearing this in mind, let's now explore the average estimates of specific Walmart metrics that are commonly monitored and projected by Wall Street analysts.

The consensus among analysts is that 'Revenues- Membership and other income' will reach $1.35 billion. The estimate suggests a change of +3.3% year over year.

It is projected by analysts that the 'Revenues- Net Sales' will reach $169.25 billion. The estimate indicates a year-over-year change of +4%.

According to the collective judgment of analysts, 'Net Sales- Walmart International' should come in at $30.59 billion. The estimate points to a change of +10.9% from the year-ago quarter.

The collective assessment of analysts points to an estimated 'Net Sales- Walmart U.S.' of $116.93 billion. The estimate points to a change of +2.8% from the year-ago quarter.

Analysts expect 'U.S. comparable store sales (YoY change) - Walmart U.S. - Without Fuel Impact' to come in at 3.0%. Compared to the current estimate, the company reported 8.3% in the same quarter of the previous year.

The combined assessment of analysts suggests that 'U.S. comparable store sales (YoY change) - Sam's Club - Without Fuel Impact' will likely reach 2.5%. The estimate is in contrast to the year-ago figure of 12.2%.

Analysts' assessment points toward 'U.S. comparable store sales (YoY change) - Walmart U.S. - With Fuel Impact' reaching 3.0%. Compared to the current estimate, the company reported 8.4% in the same quarter of the previous year.

Analysts predict that the 'U.S. comparable store sales (YoY change) - Sam's Club - With Fuel Impact' will reach 2.0%. Compared to the current estimate, the company reported 11.9% in the same quarter of the previous year.

Based on the collective assessment of analysts, 'U.S. comparable store sales (YoY change) - Total U.S. - Without Fuel Impact' should arrive at 3.1%. Compared to the present estimate, the company reported 8.8% in the same quarter last year.

The average prediction of analysts places 'Net square footage - Sam's Club' at 80.30 Msq ft. The estimate is in contrast to the year-ago figure of 80.35 Msq ft.

Analysts forecast 'Net square footage - Total' to reach 1,051.17 Msq ft. The estimate is in contrast to the year-ago figure of 1,056.17 Msq ft.

The consensus estimate for 'Net square footage - Walmart U.S.' stands at 698.99 Msq ft. Compared to the current estimate, the company reported 701.73 Msq ft in the same quarter of the previous year.

View all Key Company Metrics for Walmart here>>>

Walmart shares have witnessed a change of +4.5% in the past month, in contrast to the Zacks S&P 500 composite's +3.7% move. With a Zacks Rank #3 (Hold), WMT is expected closely follow the overall market performance in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Walmart Inc. (WMT) - free report >>

Published in