WALMART INC (1WMT.MI) Stock Fundamental Analysis
BIT:1WMT - Euronext Milan - US9311421039 - Common Stock - Currency: EUR
We assign a fundamental rating of 5 out of 10 to 1WMT. 1WMT was compared to 25 industry peers in the Consumer Staples Distribution & Retail industry. While 1WMT belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. 1WMT is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year 1WMT was profitable.
In the past year 1WMT had a positive cash flow from operations.
Each year in the past 5 years 1WMT has been profitable.
1WMT had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 7.17%, 1WMT belongs to the best of the industry, outperforming 84.00% of the companies in the same industry.
1WMT's Return On Equity of 22.46% is amongst the best of the industry. 1WMT outperforms 84.00% of its industry peers.
The Return On Invested Capital of 1WMT (13.57%) is better than 84.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for 1WMT is above the industry average of 9.26%.
The last Return On Invested Capital (13.57%) for 1WMT is above the 3 year average (12.73%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.17% | ||
| ROE | 22.46% | ||
| ROIC | 13.57% |
ROA(3y)6.13%
ROA(5y)5.87%
ROE(3y)18.36%
ROE(5y)17.64%
ROIC(3y)12.73%
ROIC(5y)12.9%
1.3 Margins
1WMT's Profit Margin of 2.75% is fine compared to the rest of the industry. 1WMT outperforms 76.00% of its industry peers.
1WMT's Profit Margin has been stable in the last couple of years.
The Operating Margin of 1WMT (4.33%) is better than 76.00% of its industry peers.
In the last couple of years the Operating Margin of 1WMT has remained more or less at the same level.
With a Gross Margin value of 24.88%, 1WMT perfoms like the industry average, outperforming 52.00% of the companies in the same industry.
In the last couple of years the Gross Margin of 1WMT has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.33% | ||
| PM (TTM) | 2.75% | ||
| GM | 24.88% |
OM growth 3Y-4.61%
OM growth 5Y1.02%
PM growth 3Y6.13%
PM growth 5Y0.1%
GM growth 3Y-0.33%
GM growth 5Y0.13%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so 1WMT is still creating some value.
1WMT has less shares outstanding than it did 1 year ago.
The number of shares outstanding for 1WMT has been reduced compared to 5 years ago.
Compared to 1 year ago, 1WMT has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 5.90 indicates that 1WMT is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 5.90, 1WMT belongs to the top of the industry, outperforming 96.00% of the companies in the same industry.
The Debt to FCF ratio of 1WMT is 3.91, which is a good value as it means it would take 1WMT, 3.91 years of fcf income to pay off all of its debts.
1WMT has a Debt to FCF ratio of 3.91. This is in the better half of the industry: 1WMT outperforms 80.00% of its industry peers.
A Debt/Equity ratio of 0.57 indicates that 1WMT is somewhat dependend on debt financing.
With a decent Debt to Equity ratio value of 0.57, 1WMT is doing good in the industry, outperforming 72.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.57 | ||
| Debt/FCF | 3.91 | ||
| Altman-Z | 5.9 |
ROIC/WACC1.56
WACC8.67%
2.3 Liquidity
A Current Ratio of 0.78 indicates that 1WMT may have some problems paying its short term obligations.
1WMT has a Current ratio of 0.78. This is in the lower half of the industry: 1WMT underperforms 76.00% of its industry peers.
1WMT has a Quick Ratio of 0.78. This is a bad value and indicates that 1WMT is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of 1WMT (0.22) is worse than 92.00% of its industry peers.
The current and quick ratio evaluation for 1WMT is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.78 | ||
| Quick Ratio | 0.22 |
3. Growth
3.1 Past
1WMT shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 8.47%, which is quite good.
1WMT shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 8.80% yearly.
The Revenue has been growing slightly by 4.22% in the past year.
1WMT shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.38% yearly.
EPS 1Y (TTM)8.47%
EPS 3Y5.3%
EPS 5Y8.8%
EPS Q2Q%1.67%
Revenue 1Y (TTM)4.22%
Revenue growth 3Y5.94%
Revenue growth 5Y5.38%
Sales Q2Q%2.54%
3.2 Future
1WMT is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.02% yearly.
1WMT is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.18% yearly.
EPS Next Y4.91%
EPS Next 2Y8.61%
EPS Next 3Y9.35%
EPS Next 5Y9.02%
Revenue Next Year3.69%
Revenue Next 2Y4.07%
Revenue Next 3Y4.04%
Revenue Next 5Y4.18%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 37.35, 1WMT can be considered very expensive at the moment.
1WMT's Price/Earnings ratio is a bit more expensive when compared to the industry. 1WMT is more expensive than 72.00% of the companies in the same industry.
When comparing the Price/Earnings ratio of 1WMT to the average of the S&P500 Index (26.35), we can say 1WMT is valued slightly more expensively.
A Price/Forward Earnings ratio of 31.85 indicates a quite expensive valuation of 1WMT.
Based on the Price/Forward Earnings ratio, 1WMT is valued more expensive than 80.00% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.19. 1WMT is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 37.35 | ||
| Fwd PE | 31.85 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, 1WMT is valued a bit more expensive than the industry average as 72.00% of the companies are valued more cheaply.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of 1WMT indicates a slightly more expensive valuation: 1WMT is more expensive than 76.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 55.84 | ||
| EV/EBITDA | 18.49 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
1WMT has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)7.6
PEG (5Y)4.25
EPS Next 2Y8.61%
EPS Next 3Y9.35%
5. Dividend
5.1 Amount
1WMT has a yearly dividend return of 0.99%, which is pretty low.
Compared to an average industry Dividend Yield of 3.77, 1WMT is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.40, 1WMT's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.99% |
5.2 History
The dividend of 1WMT has a limited annual growth rate of 3.32%.
Dividend Growth(5Y)3.32%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
36.65% of the earnings are spent on dividend by 1WMT. This is a low number and sustainable payout ratio.
The dividend of 1WMT is growing, but earnings are growing more, so the dividend growth is sustainable.
DP36.65%
EPS Next 2Y8.61%
EPS Next 3Y9.35%
BIT:1WMT (6/19/2025, 7:00:00 PM)
82.16
+0.65 (+0.8%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupConsumer Staples Distribution & Retail
GICS IndustryConsumer Staples Distribution & Retail
Earnings (Last)
Earnings (Next)
Inst Owners36.1%
Inst Owner ChangeN/A
Ins Owners0.37%
Ins Owner ChangeN/A
Market Cap657.35B
Analysts84.58
Price Target97.05 (18.12%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.99% |
Yearly Dividend0.72
Dividend Growth(5Y)3.32%
DP36.65%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.22%
Min EPS beat(2)1.55%
Max EPS beat(2)4.88%
EPS beat(4)4
Avg EPS beat(4)4.25%
Min EPS beat(4)1.55%
Max EPS beat(4)7.81%
EPS beat(8)7
Avg EPS beat(8)5.63%
EPS beat(12)11
Avg EPS beat(12)7.33%
EPS beat(16)14
Avg EPS beat(16)5.65%
Revenue beat(2)0
Avg Revenue beat(2)-0.94%
Min Revenue beat(2)-1.18%
Max Revenue beat(2)-0.69%
Revenue beat(4)1
Avg Revenue beat(4)-0.57%
Min Revenue beat(4)-1.18%
Max Revenue beat(4)0.11%
Revenue beat(8)3
Avg Revenue beat(8)-0.24%
Revenue beat(12)7
Avg Revenue beat(12)0.32%
Revenue beat(16)10
Avg Revenue beat(16)0.57%
PT rev (1m)0.25%
PT rev (3m)-8.75%
EPS NQ rev (1m)4.18%
EPS NQ rev (3m)3.65%
EPS NY rev (1m)0%
EPS NY rev (3m)-5.43%
Revenue NQ rev (1m)0.39%
Revenue NQ rev (3m)0.29%
Revenue NY rev (1m)0.05%
Revenue NY rev (3m)0.06%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 37.35 | ||
| Fwd PE | 31.85 | ||
| P/S | 1.1 | ||
| P/FCF | 55.84 | ||
| P/OCF | 20.06 | ||
| P/B | 9 | ||
| P/tB | 13.74 | ||
| EV/EBITDA | 18.49 |
EPS(TTM)2.2
EY2.68%
EPS(NY)2.58
Fwd EY3.14%
FCF(TTM)1.47
FCFY1.79%
OCF(TTM)4.09
OCFY4.98%
SpS74.6
BVpS9.12
TBVpS5.98
PEG (NY)7.6
PEG (5Y)4.25
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.17% | ||
| ROE | 22.46% | ||
| ROCE | 18.59% | ||
| ROIC | 13.57% | ||
| ROICexc | 14.38% | ||
| ROICexgc | 17.65% | ||
| OM | 4.33% | ||
| PM (TTM) | 2.75% | ||
| GM | 24.88% | ||
| FCFM | 1.97% |
ROA(3y)6.13%
ROA(5y)5.87%
ROE(3y)18.36%
ROE(5y)17.64%
ROIC(3y)12.73%
ROIC(5y)12.9%
ROICexc(3y)13.5%
ROICexc(5y)13.96%
ROICexgc(3y)16.63%
ROICexgc(5y)17.34%
ROCE(3y)17%
ROCE(5y)17.18%
ROICexcg growth 3Y-3.11%
ROICexcg growth 5Y4.63%
ROICexc growth 3Y-2.28%
ROICexc growth 5Y5.29%
OM growth 3Y-4.61%
OM growth 5Y1.02%
PM growth 3Y6.13%
PM growth 5Y0.1%
GM growth 3Y-0.33%
GM growth 5Y0.13%
F-Score7
Asset Turnover2.61
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.57 | ||
| Debt/FCF | 3.91 | ||
| Debt/EBITDA | 1.12 | ||
| Cap/Depr | 182.33% | ||
| Cap/Sales | 3.52% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 87.75% | ||
| Profit Quality | 71.8% | ||
| Current Ratio | 0.78 | ||
| Quick Ratio | 0.22 | ||
| Altman-Z | 5.9 |
F-Score7
WACC8.67%
ROIC/WACC1.56
Cap/Depr(3y)170.4%
Cap/Depr(5y)145.24%
Cap/Sales(3y)3.14%
Cap/Sales(5y)2.71%
Profit Quality(3y)88.41%
Profit Quality(5y)110.16%
High Growth Momentum
Growth
EPS 1Y (TTM)8.47%
EPS 3Y5.3%
EPS 5Y8.8%
EPS Q2Q%1.67%
EPS Next Y4.91%
EPS Next 2Y8.61%
EPS Next 3Y9.35%
EPS Next 5Y9.02%
Revenue 1Y (TTM)4.22%
Revenue growth 3Y5.94%
Revenue growth 5Y5.38%
Sales Q2Q%2.54%
Revenue Next Year3.69%
Revenue Next 2Y4.07%
Revenue Next 3Y4.04%
Revenue Next 5Y4.18%
EBIT growth 1Y7.35%
EBIT growth 3Y1.05%
EBIT growth 5Y6.45%
EBIT Next Year51.17%
EBIT Next 3Y21.5%
EBIT Next 5Y14.74%
FCF growth 1Y-30.65%
FCF growth 3Y-0.68%
FCF growth 5Y-2.74%
OCF growth 1Y1%
OCF growth 3Y11.87%
OCF growth 5Y7.61%