Good morning. Good to have you with us. I'm Joe Frier >> and I'm Christine Romans in for Savannah this morning.We begin this morning with another development in the search for Nancy Guthrie. Investigators say that DNA evidence from a glove that was found near NY's home did not turn up a match in the federal criminal database. The glove appeared to be similar to the ones worn by the suspect seen here on NY's surveillance camera the night she disappeared.>> Nancy is the mother of our NBC News colleague, Savan ...

Core Insights - Walmart and Target are undergoing leadership changes with new CEOs, John Furner and Michael Fiddelke, respectively, as they navigate the future of U.S. consumers and retail dynamics in 2026 [1][2] Walmart - Walmart's stock has increased by approximately 163% over the past five years and 24% over the last year, reaching a 52-week high [3] - The company expects full-year net sales to rise by 4.8% to 5.1%, benefiting from strong online sales and higher-margin businesses like advertising [4] - John Furner, the new CEO, is tasked with maintaining Walmart's positive trajectory and enhancing its digital business, which has seen significant growth [5][10] - Walmart's market cap surpassed $1 trillion, and it switched its stock listing to Nasdaq to align more closely with tech-oriented investors [7] - The company is focusing on artificial intelligence to improve customer experience and operational efficiency [9][16] Target - Target's stock has decreased by about 40% over the past five years and 9% over the last year, indicating struggles with sales and store traffic [3][4] - The company is expected to report a decline in full-year sales, and its upcoming earnings report is highly anticipated due to questions surrounding its turnaround strategy [4][19] - Michael Fiddelke aims to revitalize Target by enhancing merchandising, improving customer experience, and increasing store staffing [18][24] - Target has faced challenges such as declining store visits, customer complaints, and backlash over its political stances, leading to workforce reductions [18][19] - The company is making leadership changes and has opened a new concept store in New York City to inspire future store transformations [21][23]

Core Insights - Walmart is expected to adopt a cautious approach in its annual forecasts under new CEO John Furner, navigating a fragile consumer landscape while maintaining a strong market value of over $1 trillion, marking it as the first retailer to achieve this milestone [1][1][1] Management Changes - John Furner has taken over as CEO, with David Guggina, an Amazon alumnus, appointed as president and CEO of Walmart U.S., indicating a shift towards a more tech-driven strategy [1][1] - The management changes reflect Walmart's focus on AI-led digital transformation to compete with rivals like Amazon, Costco, and Aldi [1][1] Financial Performance - Walmart's fourth-quarter revenue is projected to reach $190.43 billion, with a 24% gain over the past year, significantly outperforming packaged food companies [1][1] - The company's price-to-earnings valuation has risen to approximately 45, higher than most peers, indicating strong investor confidence [1][1] Consumer Trends - Economic pressures have led consumers across income brackets to seek cheaper options, benefiting Walmart's value proposition and delivery services [1][1] - Higher-income shoppers have increasingly contributed to Walmart's U.S. sales growth, despite challenges faced by lower-income consumers [1][1] E-commerce and AI Investments - Walmart has expanded its online marketplace to over half a billion items and launched one-hour delivery services, enhancing its competitive edge against Amazon [1][1] - The company has partnered with OpenAI to integrate AI tools like ChatGPT, improving customer experience and boosting online sales growth [1][1] Store Traffic and Market Response - In-store traffic increased by 2.3% in the fourth quarter of 2025, with further acceleration noted in January 2026, indicating strong consumer engagement [1][1] - Following Walmart's market value milestone, several Wall Street brokerages have raised their target prices and profit estimates for the company [1][1]

Core Insights - U.S. consumers have driven Walmart's grocery penetration to a record 72% as financial insecurity among Americans ages 18–54 climbs to 70% [1] - Walmart serves over 190 million Americans monthly, which is 2.5 times the reach of second-place Dollar General at 28.6% [1] - Walmart's penetration rose 6 percentage points year over year, marking the largest growth in penetration among all retailers [1]

AND NANCY GUTHRIE. >> HER HOME NOT MATCHING IN THE DNA DATABASE. AS THE SHERIFF REVEALS TO US THE NEW LEADS THEY'RE NOW PURSUING.POSSIBLE NEW CLUES IN THE VIDEOS. WAS THE SUSPECT WEARING A RING UNDER THAT GLOVE. PLUS, THE HOPE THAT DNA FOUND INSIDE THE HOUSE COULD LEAD TO A SUSPECT.AND THE SHERIFF TELLS US THAT OTHER TECH COMPANIES, EVEN MARK ZUCKERBERG, HAVE REACHED OUT TO HELP. DANGEROUS STORMS BATTERING THE WEST. VIOLENT WINDS TRIGGERING THIS DEADLY 30 CAR PILEUP.THE DESPERATE SEARCH FOR SKIERS TRAPPED I ...

WHAT TO KNOW: Search for Nancy Guthrie continue after glove yields no DNA hits MS NOW's Alex Tabet spoke with Pima County Sheriff Chris Nanos, who said investigators are focusing their search for Nancy Guthrie on key areas, including locating Guthrie's pacemaker and identifying the individual who purchased a backpack sold exclusively at Walmart. This follows the development that a glove found in the investigation about 2 miles from Guthrie's house yielded no DNA hits on databases. MS NOW: My Source for News ...

TONIGHT WE'RE JUST LEARNING. A GROUP OF SKIERS IS TRAPPED IN AN AVALANCHE NEAR SACRAMENTO. WE'RE COMING ON THE AIR WITH THE NEW DEVELOPMENTS IN THE INVESTIGATION INTO NANCY GUTHRIE'S DISAPPEARANCE.LAW ENFORCEMENT NOW SAYS THE DNA ON THE GLOVES FOUND NEAR HER HOME ARE NOT A MATCH WITH ANYTHING IN THEIR DATABASE. OUR TEAM HAS A BRAND NEW INTERVIEW WITH THE SHERIFF ON THE INVESTIGATION AND THE THOUSANDS OF LEADS HE SAYS THEY'RE TRACKING DOWN. ALSO NEW TONIGHT.WE'RE JUST LEARNING. A GROUP OF SKIERS IS TRAPPED I ...

This is the world's third largest retailer, >> beaten only by Walmart and Amazon, but with a profit margin of only 12%, which is half of their competitors. How are they making money. >> Well, I'm here to find out.>> You can't even walk in without a membership, which costs $65. And then you're greeted with a maze-like layout, concrete floors, no music, and boxes everywhere. This just shouldn't work.But 90% of members renew every single year. Their private label, Kirkland, drives a third of all sales because ...

Core Insights - Investors are eagerly awaiting Q4 results from Walmart and Target, with Walmart reporting on February 19 and Target on March 3, following a record holiday shopping season [1] - Walmart's stock has surged approximately 30% in the past three months, while Target's stock is also rebounding after previous struggles [1][3] Walmart Performance Overview - Walmart has shown strong performance, attracting value-focused consumers due to lower sourcing costs and a robust omnichannel ecosystem with significant e-commerce growth [2] - The stock is trading near an all-time high of $134, having increased over 160% in the last three years, outperforming broader market indexes [4] Target Performance Overview - Target's stock is recovering after facing sales declines and brand challenges, implementing cost-cutting measures and store improvements to enhance competitiveness against Walmart and Amazon [3] - Despite a challenging period, Target's stock is considered undervalued, trading at 14X forward earnings compared to the S&P 500's 22X and the retail sector's 24X [10] Q4 Expectations - Walmart's Q4 sales are projected to rise 5% year-over-year to $189.99 billion, with earnings expected at $0.73 per share, a 10% increase from the previous year [7] - In contrast, Target's Q4 sales are anticipated to decline 1% to $30.54 billion, with earnings per share expected to drop 10% to $2.17 [8] Annual Projections - Walmart's annual sales for FY26 are expected to increase 4% to $711.46 billion, with full-year EPS projected to rise 5% to $2.64 [7] - Target's annual sales are forecasted to dip 1% to $104.87 billion, with full-year EPS expected to decrease 17% to $7.30 compared to $8.86 in FY25 [8] Dividend Insights - Target offers a higher annual dividend yield of 3.94%, significantly above the S&P 500's average of 1.09% and the retail sector's 0.73%, making it an attractive option for dividend investors [13] - Target has a longer history of dividend increases, having raised its dividend for 54 consecutive years compared to Walmart's 52 years [13] Investment Ratings - Target currently holds a Zacks Rank 2 (Buy), indicating potential for a rally leading up to its Q4 report [14] - Walmart has a Zacks Rank 3 (Hold), suggesting that stronger-than-expected Q4 results may be necessary to justify its higher P/E valuation [14]

Group 1 - Walmart is behaving like a technology stock due to its significant investment in its online/digital e-commerce platform, outperforming the Magnificent 7 group over the last year and year-to-date [1][6] - Recent quarterly results have positively impacted Walmart shares, with strong growth in its digital business allowing for additional growth avenues through advertising [2] - The upcoming earnings report estimates $189.9 billion in sales, indicating a 5.2% year-over-year growth, and a Zacks Consensus EPS estimate of $0.73, suggesting a 10.6% year-over-year growth [3] Group 2 - Although the revenue estimate has slightly decreased since last December, the stability in estimates since the beginning of 2026 is a positive indicator [4] - Walmart's margins have shown clear improvement since 2023, which is notable given the company's already large size and retail nature [7] - The company is expected to emphasize its digital efforts in the upcoming earnings release, appealing to both higher-income households and lower/middle-income households with its pricing strategy [8] Group 3 - Other consumer-facing stocks, such as eBay, are also reporting this week, with stable and positive EPS and sales revisions similar to Walmart [9] - eBay's estimates imply a 9% EPS growth on 11.6% higher sales, indicating a strong growth outlook, although Walmart's performance disparity remains significant [12] - Walmart is set to report earnings on Thursday before the market opens, while eBay will report on Wednesday after the market closes, with favorable results from Walmart likely to maintain positive sentiment [13]