TJX's comparable-sales growth was similar to Walmart's last quarter, and it's trading at a much lower earnings multiple.Walmart (WMT 1.06%) and Target (TGT 0.13%) are two of the top retailers in the country, and they can make for great investments in the long run as the economy grows. But Walmart is trading at a 52-week high, and its valuation is expensive. Target, meanwhile, is largely a discretionary play, and while it's coming off a decent quarter, it's expecting minimal growth this year.With both of the ...

[Part I. Financial Information](index=4&type=section&id=Part%20I.%20Financial%20Information) This section presents Walmart's comprehensive financial performance, position, and cash flows for the reported period [Financial Statements](index=4&type=section&id=Item%201.%20Financial%20Statements) This section presents Walmart's unaudited condensed consolidated financial statements, highlighting revenue growth, decreased net income due to investment value changes, stable balance sheet, and reduced operating cash flow [Condensed Consolidated Statements of Income](index=4&type=section&id=Condensed%20Consolidated%20Statements%20of%20Income) Total revenues increased by 4.8% to **$169.3 billion**, but net income significantly decreased to **$4.7 billion** due to unfavorable changes in equity investment fair value Q2 Fiscal 2025 vs Q2 Fiscal 2024 Income Statement Highlights (in millions, except EPS) | Metric | Three Months Ended July 31, 2024 | Three Months Ended July 31, 2023 | Change (%) | | :--- | :--- | :--- | :--- | | **Total Revenues** | $169,335 | $161,632 | 4.8% | | **Operating Income** | $7,940 | $7,316 | 8.5% | | **Other (gains) and losses** | $1,162 | $(3,905) | N/A | | **Consolidated Net Income** | $4,711 | $8,053 | (41.5)% | | **Diluted EPS** | $0.56 | $0.97 | (42.3)% | [Condensed Consolidated Balance Sheets](index=6&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Total assets slightly decreased to **$254.4 billion**, cash and equivalents significantly declined, while total liabilities decreased and total equity increased Balance Sheet Highlights (in billions) | Account | July 31, 2024 | July 31, 2023 | | :--- | :--- | :--- | | Cash and cash equivalents | $8.8 | $13.9 | | Inventories | $55.6 | $56.7 | | **Total Assets** | **$254.4** | **$255.1** | | Accounts payable | $56.7 | $56.6 | | Long-term debt (incl. current) | $36.9 | $39.7 | | **Total Liabilities** | **$163.9** | **$169.8** | | **Total Equity** | **$90.6** | **$85.3** | [Condensed Consolidated Statements of Cash Flows](index=8&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Net cash from operations decreased to **$16.4 billion**, while cash used in investing and financing activities significantly increased, leading to a net decrease in cash Six-Month Cash Flow Summary (in billions) | Cash Flow Activity | Six Months Ended July 31, 2024 | Six Months Ended July 31, 2023 | | :--- | :--- | :--- | | Net cash provided by operating activities | $16.4 | $18.2 | | Net cash used in investing activities | $(10.1) | $(9.9) | | Net cash used in financing activities | $(6.9) | $(3.3) | | **Net (decrease) in cash** | **$(1.1)** | **$5.1** | [Notes to Condensed Consolidated Financial Statements](index=9&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) This section details accounting policies, a 3-for-1 stock split, supplier financing, debt, fair value measurements, legal contingencies, segment data, and the subsequent sale of JD.com investment - On February 23, 2024, the Company effected a **3-for-1 forward stock split**, with all share and per-share information retroactively adjusted[22](index=22&type=chunk) - Outstanding payment obligations under supplier financing programs increased to **$5.7 billion** as of July 31, 2024[23](index=23&type=chunk) - The company settled certain opioid-related claims, accruing and substantially paying a **$3.3 billion** liability in fiscal 2023, with other opioid litigation ongoing[43](index=43&type=chunk)[44](index=44&type=chunk) - Subsequent to quarter end, the company sold its investment in JD.com, expecting a **$0.3 billion** recognized loss and a **$3.8 billion** reduction in other long-term assets next quarter[57](index=57&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations (MD&A)](index=18&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses Q2 FY2025 performance, highlighting strong revenue growth, improved operating income, negative impact from investment value changes, and details on liquidity and capital allocation [Company Performance Metrics](index=19&type=section&id=Company%20Performance%20Metrics) Performance metrics show **4.3%** Total U.S. comparable sales growth, improved operating margin, increased ROI to **15.1%**, but a decrease in free cash flow to **$5.9 billion** Q2 Calendar Comparable Sales (With Fuel) | Segment | Q2 FY2025 | Q2 FY2024 | | :--- | :--- | :--- | | Walmart U.S. | 4.2% | 5.9% | | Sam's Club | 4.7% | (0.2)% | | **Total U.S.** | **4.3%** | **4.9%** | - Gross profit rate increased by **43 basis points** in Q2, while operating expenses as a percentage of sales increased by **35 basis points**[66](index=66&type=chunk) - Return on Investment (ROI) for the trailing twelve months increased to **15.1%** from **12.8%** in the prior year period[68](index=68&type=chunk) - Free cash flow for the first six months of fiscal 2025 was **$5.9 billion**, a **$3.1 billion** decrease from prior year, due to lower operating cash flow and higher capital expenditures[74](index=74&type=chunk) [Results of Operations](index=23&type=section&id=Results%20of%20Operations) Consolidated revenues grew **4.8%** in Q2, driven by strong segment performance, with operating income increasing across all segments despite a net income decline from equity investment losses Q2 Net Sales and Operating Income by Segment (in billions) | Segment | Q2 FY2025 Net Sales | YoY Change | Q2 FY2025 Operating Income | YoY Change | | :--- | :--- | :--- | :--- | :--- | | Walmart U.S. | $115.3 | 4.1% | $6.6 | 7.8% | | Walmart International | $29.6 | 7.1% | $1.4 | 14.3% | | Sam's Club | $22.9 | 4.7% | $0.6 | 11.5% | [Liquidity and Capital Resources](index=25&type=section&id=Liquidity%20and%20Capital%20Resources) Walmart maintains strong liquidity, funded by **$16.4 billion** in operating cash flow, with capital allocation including **$2.1 billion** in share repurchases and **$3.3 billion** in dividends, supported by strong credit ratings - Net cash provided by operating activities decreased to **$16.4 billion** for the first six months of FY2025, down from **$18.2 billion** in the prior year[85](index=85&type=chunk) - The company repurchased **33.3 million shares** for **$2.1 billion** in the first six months, with **$14.5 billion** remaining under the current repurchase authorization as of July 31, 2024[94](index=94&type=chunk)[95](index=95&type=chunk) - The fiscal 2025 annual dividend was increased to **$0.83 per share** from **$0.76 per share** in fiscal 2024[93](index=93&type=chunk) - The company maintains strong credit ratings including **A-1+/AA** from S&P, **P-1/Aa2** from Moody's, and **F1+/AA** from Fitch[99](index=99&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=28&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) No material changes to market risks, primarily from interest rates, currency exchange rates, and equity investment fair values, have occurred since the last 10-K filing - As of July 31, 2024, no material changes to market risks disclosed in the Annual Report on Form 10-K for the fiscal year ended January 31, 2024, have occurred[101](index=101&type=chunk) [Controls and Procedures](index=29&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures are effective, with no significant changes to internal control over financial reporting during the quarter - The CEO and CFO concluded that the company's disclosure controls and procedures are effective to provide reasonable assurance[103](index=103&type=chunk) - No significant changes to internal control over financial reporting occurred during the fiscal quarter ended July 31, 2024[103](index=103&type=chunk) [Part II. Other Information](index=30&type=section&id=Part%20II.%20Other%20Information) This section provides supplemental information on legal proceedings, confirms no material changes to risk factors, details share repurchase activity, and includes cautionary forward-looking statements [Legal Proceedings](index=30&type=section&id=Item%201.%20Legal%20Proceedings) This section details ongoing legal matters including opioid litigation, FTC money transfer claims, and a **$7.5 million** hazardous waste settlement with California - The company continues to face numerous opioid-related lawsuits in U.S. and Canadian courts, separate from the fiscal 2023 settlement[105](index=105&type=chunk) - The company is defending against FTC claims related to its money transfer agent services and cooperating with a related DOJ investigation[47](index=47&type=chunk)[105](index=105&type=chunk) - On July 15, 2024, the company entered into a **$7.5 million** settlement with the State of California regarding hazardous waste management claims, pending court approval[107](index=107&type=chunk) [Risk Factors](index=31&type=section&id=Item%201A.%20Risk%20Factors) No material changes to the company's risk factors have occurred since the Annual Report on Form 10-K for the fiscal year ended January 31, 2024 - No material change in the risk factors discussed in the Form 10-K for the fiscal year ended January 31, 2024, has occurred[108](index=108&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=31&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) This section details the repurchase of approximately **15.0 million shares** during the quarter under the **$20 billion** program, with **$14.5 billion** remaining authorization Share Repurchases for the Three Months Ended July 31, 2024 | Period | Total Shares Purchased | Average Price Paid per Share | | :--- | :--- | :--- | | May 2024 | 5,828,379 | $62.19 | | June 2024 | 4,356,393 | $67.12 | | July 2024 | 4,860,317 | $69.66 | | **Total** | **15,045,089** | **N/A** | - As of July 31, 2024, authorization for **$14.5 billion** of share repurchases remained under the current program[109](index=109&type=chunk) [Other Information](index=32&type=section&id=Item%205.%20Other%20Information) This section includes cautionary statements regarding forward-looking information, outlining economic, operational, and regulatory risks, and confirms no Rule 10b5-1 trading plan changes by officers - The report includes forward-looking statements concerning litigation outcomes, business strategies, financial performance, and liquidity, subject to various risks and uncertainties[113](index=113&type=chunk)[114](index=114&type=chunk) - Key risk categories highlighted include economic factors, operating factors, and regulatory factors[116](index=116&type=chunk)[117](index=117&type=chunk)[118](index=118&type=chunk) [Exhibits](index=35&type=section&id=Item%206.%20Exhibits) This section lists exhibits filed with the 10-Q, including corporate documents, CEO/CFO certifications, opioid litigation citations, and Inline XBRL data files - Exhibits filed include CEO/CFO certifications under Sarbanes-Oxley Sections 302 and 906[121](index=121&type=chunk) - The report includes Inline XBRL instance, schema, and related linkbase documents as required by the SEC[121](index=121&type=chunk)

These industry-leading companies should continue rewarding investors with dividend raises for years to come.The stock market can be an excellent vehicle for building wealth over time. But it can also be used to generate passive income from dividends without the need to sell stock.The Dow Jones Industrial Average is chock-full of blue chip dividend-paying companies -- including Walmart (WMT -0.07%), Home Depot (HD -0.13%), and Chevron (CVX -0.65%).Investing $2,500 into each stock should generate at least $20 ...

Walmart’s eCommerce business has increased in the past few years, and now, to take that growth to the next level and better compete with rival Amazon, the retail giant is looking to grow its marketplace offerings.The company announced Tuesday (Aug. 27) a range of updates to its offerings for third-party sellers. At its 2024 Walmart Marketplace Seller Summit, the superstore chain announced the introduction of new product categories such as Premium Beauty and pre-owned merchandise, as well as features designe ...

Walmart's latest earnings paint an interesting picture of the economy.While the stock market has generated strong returns over the last couple of years, the broader macroeconomic picture has been cloudy at best.Inflation has been abnormally high compared to historic levels. Moreover, a series of interest rate hikes by the Federal Reserve has significantly affected consumer purchasing activity. U.S. job data has also been inconsistent. Perhaps unsurprisingly, some economists and investors have been concerned ...

Walmart Marketplace Expansion - Walmart has introduced new product categories on its eCommerce platform, including Premium Beauty at Walmart, Resold at Walmart, and Collector Shop, featuring custom storefronts, pre-owned luxury items, and collectibles from 1,700 sellers [1] - The company is enhancing its omnichannel experience with Walmart LocalFinds, connecting shoppers with local retailers through digital channels and offering direct pickup and delivery from sellers' physical stores, launching this fall in Atlanta and Dallas [2] - Walmart Fulfillment Services (WFS) has introduced new solutions, including a Multichannel Solutions program, Walmart Cross Border import service, and an expansion of the Walmart Preferred Carrier program, enabling sellers to fulfill orders across multiple eCommerce sites and manage international shipments [2] Growth and Strategic Focus - Walmart Marketplace has achieved over 30% sales growth in each of the past four quarters, with the number of sellers on Walmart.com growing by 20% in the last fiscal year [3] - The company continues to invest in digital and fulfillment capabilities to enhance the customer and seller experience, emphasizing personalized and seamless omnichannel experiences [3] - Walmart launched its third-party marketplace in 2009 to diversify product offerings and compete with Amazon's seller ecosystem [3]

Walmart Inc. (WMT) stands as a titan in the retail space, powered by its strong omnichannel presence, strategic diversification into high-growth areas, and solid financial health. The stock closed at $75.70 on Aug 23, shy of its recently hit 52-week high of $76.22 on Aug 22, reflecting strong investor confidence in Walmart's prospects. Image Source: Zacks Investment ResearchOver the past month, shares of this supermarket giant have gained 8.7% compared with the industry’s rise of 7.8%.  Additionally, the co ...

The little things are adding up to make the world's biggest brick-and-mortar retailer also the world's best brick-and-mortar retailer.Walmart (WMT 0.16%) certainly seems to be firing on all cylinders these days. Its second-quarter results were so solid, in fact, that shares reached a record high immediately following the recently released report. Moreover, based on Walmart's strong Q2 numbers, investors are deciding the economy and consumerism are healthier than presumed less than a week ago. That bodes wel ...

Walmart Inc. (WMT) and Burger King entered into a first-of-its-kind partnership, providing Walmart+ members with an exclusive offer of 25% off on any digital Burger King order. Starting in September, members will also be eligible to receive a free flame-grilled Whopper every three months with any purchase, further enhancing the perks of their membership. Walmart+ members can easily redeem this benefit through the BK App or at bk.com.This exclusive benefit is tailored to fit members' fast-paced lifestyles. W ...

JD.com Inc. JD stock has entered bearish territory, with a Death Cross signaling a potential downturn. The e-commerce giant is down 1.16% year-to-date and 20.51% over the past year, though it saw a slight uptick of 2.6% in the past month.The recent sell-off by Walmart Inc. WMT only adds to the uncertainty, as the retail behemoth announced plans to offload its stake in JD, aiming to raise up to $3.74 billion. This strategic move comes as Walmart shifts focus to its own operations in China, leaving JD to grap ...