Core Insights - Walmart Inc. reported second-quarter fiscal 2026 results, with total revenues of $177.4 billion, exceeding the Zacks Consensus Estimate of $175.5 billion, while adjusted earnings per share (EPS) of 68 cents missed the estimate of 73 cents [1][3][11] - The company raised its fiscal 2026 net sales and adjusted EPS guidance, now expecting net sales growth of 3.75-4.75% and adjusted EPS in the range of $2.52-$2.62 [1][17] Financial Performance - Total revenues increased by 4.8% year over year, with a constant-currency growth of 5.6%, reflecting strong performance across all business segments [3][11] - Adjusted EPS rose 1.5% from the previous year, but fell short of expectations [3][11] - Operating income decreased by 8.2% year over year to $7.3 billion, impacted by legal and restructuring costs, although adjusted operating income increased by 0.4% [7][11] Segment Performance - Walmart U.S. segment net sales grew 4.8% to $120.9 billion, driven by grocery and health & wellness sales, with e-commerce sales rising 26% [8][9] - Walmart International segment net sales increased by 5.5% to $31.2 billion, with a 10.5% increase on a constant-currency basis, supported by strong performance in China and Flipkart [10][11] - Sam's Club U.S. segment net sales rose 6% to $21.2 billion, with e-commerce sales increasing by 26% [12][13] E-commerce and Digital Growth - Global e-commerce sales surged 25%, attributed to store-fulfilled pickup and delivery services [4][11] - Membership income increased by 15.3% globally, while advertising revenue advanced by 46% [4][11] Operating Metrics - Consolidated gross profit margin expanded by 4 basis points to 24.5%, supported by strong inventory management [5][11] - Operating expenses deleveraged by 64 basis points due to higher self-insured liability claims and technology investments [6][11] Future Outlook - For the third quarter of fiscal 2026, Walmart expects consolidated net sales growth of 3.75-4.75% and operating income growth of 3-6% [16][17] - The company anticipates net interest expenses to increase by $100-$200 million [17]

Market Overview - U.S. stocks traded lower, with the Dow Jones index falling approximately 50 points, down 0.62% to 44,660.91, NASDAQ down 0.74% to 21,016.48, and S&P 500 down 0.66% to 6,353.29 [1] - Health care shares increased by 0.7%, while consumer staples stocks decreased by 0.9% [1] Company Performance - Walmart Inc. shares fell 4% after reporting mixed second-quarter results, with adjusted earnings per share of 68 cents, missing the analyst consensus estimate of 74 cents, but quarterly sales of $177.40 billion, up 4.8% year over year, exceeded expectations [2] Commodity Market - Oil prices decreased by 0.2% to $63.06, while gold also fell by 0.2% to $3,383.50; silver rose by 0.9% to $38.100, and copper fell by 0.2% to $4.4335 [5] European Market - European shares showed mixed results, with the eurozone's STOXX 600 down 0.07%, Spain's IBEX 35 down 0.10%, London's FTSE 100 up 0.18%, Germany's DAX 40 up 0.01%, and France's CAC 40 down 0.53% [6] Asian Market - Asian markets closed mixed, with Japan's Nikkei 225 down 0.65%, Hong Kong's Hang Seng down 0.24%, China's Shanghai Composite up 0.13%, and India's BSE Sensex up 0.17% [7] Notable Stock Movements - Aptorum Group Limited shares surged 155% to $3.24 after receiving approval for the DiamiR APOE genotyping test [8] - Protagenic Therapeutics, Inc. shares increased by 94% to $4.43 after completing the first dose injections in its Phase 1 study [8] - SelectQuote, Inc. shares rose 40% to $2.5709 following better-than-expected fourth-quarter results and positive FY26 revenue guidance [8] - ModivCare Inc. shares dropped 61% to $0.7196 after filing for voluntary Chapter 11 [8] - Coty Inc. shares fell 20% to $3.8850 after missing fourth-quarter adjusted EPS, with Evercore ISI Group cutting its price target from $10 to $7 [8] - Canadian Solar Inc. shares decreased by 19% to $10.38 after reporting worse-than-expected second-quarter results and lowering FY25 sales guidance [8]

Market Performance - As of August 21, US stock indices continued to show weakness, with the Dow Jones down 0.17%, S&P 500 down 0.2%, and Nasdaq down 0.2% [1] - Major tech stocks experienced mixed results, with Apple down 0.21%, Tesla down 0.55%, Amazon down 0.84%, Facebook down 1.07%, while Microsoft rose 0.35% and Google increased by 0.27% [3][4] Walmart Financials - Walmart's stock fell by 3.99% after reporting Q2 revenue growth of 4.8% year-on-year, with adjusted earnings per share at $0.68, below the market estimate of $0.74 [4][5] - The company's net profit for Q2 was $7.151 billion, reflecting a year-on-year increase of 51.8% [4] Economic Indicators - The US manufacturing PMI for August reached a preliminary value of 53.3, the highest in 39 months, exceeding expectations of 49.5 [5] - The US services PMI for August was reported at 55.4, above the forecast of 54.2 [5] - The US dollar index rose by 0.38% to 98.6192 following these economic indicators [5] Chinese Market Performance - The Nasdaq China Golden Dragon Index rose by 1.42%, with notable increases in stocks such as XPeng up nearly 14% and NIO up 11.21% [8] - XPeng's co-founder purchased 3.1 million shares at an average price of HKD 80.49, increasing his stake to approximately 18.9% [8] Chinese Stock ETFs - Chinese stock ETFs listed in the US have seen significant inflows, with the KraneShares China Internet ETF growing to $8.22 billion, a 7.92% increase from July [13] - Morgan Stanley predicts that the Chinese stock market will continue to attract more capital due to lower valuations and a favorable economic outlook [13] Federal Reserve Insights - The Federal Reserve's FOMC meeting minutes indicated a consensus to maintain the federal funds rate target range at 4.25%-4.5% [14] - Market expectations for a 25 basis point rate cut in September are high, with an 85% probability [15] - Fed Chair Jerome Powell's upcoming speech at the Jackson Hole conference is highly anticipated for insights on future monetary policy [15][16]

Walmart Slumps After Rare Profit Miss Overshadows Higher Sales. Listen for more on Bloomberg Intelligence. https://t.co/cashEi3VCp ...

Core Insights - Walmart's eCommerce sales increased by 26% year-over-year, with grocery digital sales showing double-digit growth and store-fulfilled grocery delivery rising by 50% [2][3] Financial Performance - Despite a slight earnings miss due to rising costs from tariffs, Walmart raised its full-year net sales growth guidance to 3.75% to 4.75%, up from the previous 3% to 4% [3] - Comparable sales in the U.S. grew by 4.6%, with Sam's Club outperforming at 5.9% [3] eCommerce and Marketplace Growth - All segments of Walmart reported eCommerce sales growth exceeding 20%, with overall sales stronger than expected [4] - The global marketplace grew by 17%, and membership income increased by 15%, while global advertising surged by 46% [5] Consumer Behavior and Pricing Strategy - CEO Doug McMillon noted that U.S. consumer spending has remained consistent, with gradual impacts from tariffs leading to muted behavioral adjustments [6] - The company has managed to keep prices low despite rising costs, with creative strategies to avoid additional pressure on customers [6] Artificial Intelligence Initiatives - AI remains a key focus for Walmart, with plans to enhance the digital assistant Sparky for improved personalization and functionality [7][8] Membership and Loyalty Programs - Membership fee income across the enterprise rose by 15%, with Sam's Club seeing 7.6% growth in membership income and Walmart Plus membership income growing in double digits [9][10] Overall Business Strategy - The CFO highlighted the nuanced nature of the earnings report, emphasizing the strong momentum in eCommerce and diversified profit streams that are higher growth and higher margin [10]

Hello and welcome to Morning Brief Market Sunrise. I'm Ramzan Carmali live from Yahoo Finance Studios in London. It's Thursday, 21st August. Coming up on the show, there are signs that the tech selloff is easing after days of big losses for some of the nation's biggest stocks. Investor focus now shifts to Jackson Hole. They'll be looking for any clues of what the interest rate path will look like. And in the last few moments, Walmart has just released its latest earnings report. I'll bring you the details. ...

Let's get to some retail earnings this morning. Walmart did hike its sales and earnings outlook even as it said that its tariff costs are rising and will continue to do so. Our Courtney Reagan has more on the quarter. Busy morning court. Yeah, hi Carl. So Walmart earnings disappointing slightly though on stronger than expected revenues also increasing its fullear sales and earnings guidance. Now there's nuance in the operating income this quarter. Looks funny when you think about what normal normal cadence ...

Economic Indicators - Initial Jobless Claims rose to 235K, exceeding expectations by 10K and increasing by 11K from the previous week, marking the highest level since June [2] - Continuing Claims approached 2 million, reported at 1.972 million, the highest since November 2021 [2] - The Philly Fed Manufacturing survey showed a negative reading of -0.3, significantly lower than the expected 7.0 and the previous month's 15.9, indicating a decline in manufacturing output [3] - New Orders fell to -1.9, a decrease of 20 points month over month, while Shipments remained positive at 4.5 [3] Company Earnings - Walmart reported Q2 earnings of 68 cents per share, slightly below the Zacks consensus by 5 cents and only a penny above the previous year's earnings, with revenues of $177.4 billion, surpassing estimates by 1% [4] - Walmart revised its revenue guidance higher for the full fiscal year despite the mixed results [4] Market Expectations - Flash S&P Services and Manufacturing PMI for August are anticipated to cool down, with Services expected at 55.0 and Manufacturing at 49.5 [5] - Existing Home Sales for July are projected to decrease to 3.91 million annualized units from 3.93 million the prior month [6] - U.S. Leading Economic Indicators (LEI) are expected to improve to -0.1% for July from -0.3% in June [6] Upcoming Earnings Reports - Earnings season continues with companies like Zoom Communications, Workday, Ross Stores, and Intuit expected to report quarterly earnings, with Intuit projected to achieve a year-over-year earnings growth of 33% [7]

Core Viewpoint - Walmart's Q2 revenue increased by 4.8% year-over-year to $177.4 billion, exceeding market expectations, but the non-GAAP EPS of $0.68 fell short due to increased insurance claims costs [1][1][1] Financial Performance - Q2 revenue reached $177.4 billion, up 4.8% year-over-year, outperforming market expectations [1][1] - Non-GAAP EPS was $0.68, which did not meet market expectations due to rising insurance claims costs [1][1] - Operating profit declined by 8.2%, attributed to special legal and restructuring costs [1][1] Future Outlook - Despite the profit miss, Walmart raised its full-year sales forecast, now expecting net sales growth of 3.75% to 4.75%, up from the previous guidance of 3% to 4% [1][1] - Adjusted EPS guidance was increased to a range of $2.52 to $2.62, compared to the prior guidance of $2.50 to $2.60, aligning with market expectations of $2.62 [1][1]

Economic Indicators - Initial Jobless Claims rose to 235K, exceeding expectations by 10K and increasing by 11K from the previous week, marking the highest level since June [2] - Continuing Claims approached 2 million, reported at 1.972 million, the highest since November 2021 [2] - The Philly Fed Manufacturing survey showed a negative reading of -0.3, significantly lower than the expected 7.0 and the previous month's 15.9, indicating a decline in manufacturing output [3] - New Orders fell to -1.9, a decrease of 20 points month over month, while Shipments remained positive at 4.5 [3] Company Earnings - Walmart reported mixed Q2 results with earnings of 68 cents per share, slightly below consensus estimates and only a penny above the previous year's figure, while revenues reached $177.4 billion, surpassing estimates by 1% [4] - Walmart revised its revenue guidance higher for the full fiscal year, despite a 2% drop in shares ahead of the market open [4] Market Expectations - Flash S&P Services and Manufacturing PMI for August are anticipated to cool slightly, with Services expected at 55.0 and Manufacturing at 49.5, just below the growth threshold [5] - Existing Home Sales for July are projected to decrease to 3.91 million annualized units from 3.93 million the prior month [6] - U.S. Leading Economic Indicators (LEI) are expected to improve to -0.1% for July from -0.3% in June, indicating a potential recovery from the lowest levels in over 10 years [6] Upcoming Earnings Reports - Earnings season continues with companies like Zoom Communications, Workday, Ross Stores, and Intuit expected to report quarterly earnings, with Intuit projected to achieve a year-over-year earnings growth of 33% [7]