Core Viewpoint - Walmart is considered a long-term investment due to its recession-proof nature and consistent performance over decades [1][2]. Group 1: Business Resilience - Walmart is seen as a safe haven during economic downturns, as consumers tend to prioritize essential items over luxury goods [4][5]. - The company excels in providing essential goods such as groceries and hygiene products, which are less likely to be cut from consumer budgets during tough times [5][6]. - Walmart benefits significantly from the "trade-down" effect, where consumers shift from higher-end retailers to Walmart in search of lower prices during economic challenges [7]. Group 2: Financial Stability - Walmart has a market capitalization of $891 billion, with a current stock price of $111.74 and a gross margin of 23.90% [9]. - The company has a strong dividend history, having paid and increased its dividend for 52 consecutive years, qualifying it as a Dividend King [9]. - Walmart's cash flow is robust, allowing it to maintain its dividend even during economic fluctuations, providing investors with consistent income [10].

Core Insights - Walmart is experiencing significant growth in its online business in New York City despite being unable to open physical stores due to opposition from labor unions and activists [1] Group 1: eCommerce Growth - Over the past five years, Walmart's eCommerce sales have doubled in Manhattan and increased by 90% to 120% in the Bronx, Brooklyn, and Queens, with a 44% rise in Staten Island [2] - Walmart.com has seen double-digit year-over-year growth in visits from New York City users each month, and the Walmart app usage in downstate New York is 7.1% higher than the previous year [3] Group 2: Delivery Services - Walmart provides same-day delivery of fresh produce and shelf-stable food staples to parts of three boroughs and offers other delivery options to the remaining boroughs [4] Group 3: Future Expansion and Strategy - Walmart is continuously exploring opportunities to expand and serve customers better, although no specific plans for opening a store in New York City have been disclosed [5] - The company is evolving into an AI-enhanced eCommerce platform, as indicated by its decision to trade on Nasdaq, which has a technology focus [6]

Just when you thought you made your last trip out to the mall or the shopping center this year, it's time for returnuary. According to the National Retail Federation, retailers estimate about 17% of their holiday sales will be returned this year. So, how do all those returns impact a store's bottom line.And what does it say about the consumer. Let's ask Bill Simon. He's the former president and CEO of Walmart US.Uh, Bill, it's great to see you. And um I guess stores are trying to really take advantage of th ...

Core Viewpoint - The retail sector, particularly Walmart, is showing strong performance during the holiday shopping season, with positive expectations for retail sales driven by major players like Mastercard, Visa, and the National Retail Federation [2][3]. Group 1: Walmart's Performance - Walmart is recognized as a leader in the retail space, increasing margins and leveraging its scale effectively in a K-shaped economy [3][4]. - The company's international e-commerce sales have surged by 27%, significantly outpacing the 5% growth in U.S. e-commerce [5]. - Walmart's strategic investments in technology and distribution have positioned it as a formidable competitor against Amazon and other retailers [10][12]. Group 2: Competitive Advantages - Walmart's extensive distribution network, with nearly 200 distribution centers compared to Target's six, enhances its operational efficiency [10]. - The introduction of Walmart Plus is viewed as a strong value proposition for consumers, offering competitive advantages over similar services like Amazon Prime [6][7]. - The company is attracting a broader customer base, including higher-income consumers, which contributes to its resilience in various economic conditions [8]. Group 3: Market Outlook - Despite trading at a higher valuation compared to the S&P retail index, Walmart is still considered a value stock due to the number of competitors facing bankruptcy [9]. - Analysts express optimism about Walmart's future gains, highlighting its ability to adapt and thrive in changing market conditions [9][12]. - A bullish trading strategy is being considered for Walmart, with potential price action indicating a favorable outlook for the stock [13][14].

Core Viewpoint - Walmart is currently favored among retail analysts and investors, but its premium valuation raises questions about future growth potential [1][2]. Walmart's Valuation and Performance - Walmart is perceived as becoming too expensive compared to its peers and its historical valuation, with a price-to-earnings (P/E) ratio of 42, significantly higher than Alphabet's 30 [4][5]. - Despite the high valuation, analysts believe there is still upside potential for Walmart, particularly as it integrates more AI functions into its operations [3][7]. - Walmart is considered cheaper than Costco, indicating that there may still be room for growth despite its current valuation [7]. CEO Transition and Market Share - The upcoming CEO transition at Walmart is viewed as a potential headwind, although the new CEO, John Ferner, is seen as capable [2][6]. - Walmart's market share is low, with no category exceeding 3%, suggesting that even small gains could significantly impact profitability [6]. Comparison with Target and Costco - Target is also undergoing a CEO transformation, but its valuation parameters differ from Walmart's, with analysts expecting improvements in margins [5][7]. - Costco, while historically strong, faces challenges related to changing demographics and the convenience factor compared to Walmart [9][10]. Tariff Impact on Retailers - Tariffs are expected to continue impacting the retail sector into 2026, but the overall effect is anticipated to be neutral compared to 2025 [12][13]. - Footwear retailers are particularly affected by tariffs, but some companies like Dixs are managing to absorb these costs effectively [13].

Core Insights - Walmart Inc. and Costco Wholesale Corporation are two leading players in the global retail sector, each with distinct business models and strategies [1][2][3] Walmart Overview - Walmart operates over 10,750 stores globally, including supercenters and discount stores, and is expanding its e-commerce and digital advertising platforms [2] - The company has a market capitalization of $884.2 billion and is focusing on enhancing its omnichannel retail capabilities through its extensive store network [3][4] - Walmart's global e-commerce sales increased by 27% in Q3 of fiscal 2026, with U.S. e-commerce up 28% and international sales up 26% [5] - The shift towards higher-margin revenue streams, including advertising and membership income, now accounts for approximately one-third of Walmart's consolidated adjusted operating income [6] - Investments in technology and automation are central to Walmart's strategy, improving fulfillment efficiency and maintaining price leadership [7] - International operations are contributing to growth, particularly in Mexico, China, and India, although the company faces challenges such as intense competition and cost pressures [8] Costco Overview - Costco operates on a membership-based model, generating stable high-margin revenues from membership fees and maintaining competitive pricing through bulk purchasing [9][10] - The company reported over 20% growth in digitally enabled comparable sales in Q1 of fiscal 2026, driven by increased website traffic and app engagement [11] - Operational efficiency is a key advantage, with productivity gains from technology improving checkout speed and inventory management [12] - Despite its durable business model, Costco faces challenges from thin merchandise margins and fluctuating demand for discretionary items [13] Financial Performance and Estimates - The Zacks Consensus Estimate for Walmart's current fiscal-year sales suggests a year-over-year increase of 4.6%, with EPS expected to rise by 4.8% [14] - For Costco, the current fiscal-year sales and EPS estimates imply year-over-year growth of 7.5% and 11.7%, respectively [17] - Over the past year, Walmart's shares have increased by 19.7%, while Costco's shares have declined by 10.8% [20] Valuation Comparison - Walmart trades at a forward price-to-earnings multiple of 38.19, while Costco has a forward P/E of 41.38, indicating a relative valuation discount for Costco compared to its historical average [23] Investment Outlook - Walmart is positioned as a stronger option for investors seeking momentum and earnings diversification, while Costco remains a solid long-term investment focused on stability and consistency [24]

Now, I want to talk more broadly about the market and news that's been shaping it so far this year. For that, we're going to welcome in David Straeski. He's the CEO of Sound Planning Group.David, thank you so much for being with us today. You know, I'd love to just get some of your key takeaways from 2025 before we dive into your expectations for 26. >> Well, you know, we had an amazing year.Anytime that you see the S&P up 20 25%, that's obviously an incredible year. Um, you know, obviously this year was ma ...

Key Takeaways Advertising revenues jumped 53% in Q3, signaling a bigger role for WMT's retail media business.U.S. growth came from Walmart Connect, while Flipkart led international gains as seller and brand demand rose.Ads and membership made about one-third of consolidated adjusted operating income for Walmart in the quarter.Walmart Inc.’s (WMT) third-quarter fiscal 2026 performance highlighted a sharp acceleration in its global advertising business, raising an important question about whether ads are beco ...

Key Takeaways AFRM posted 33.6% revenue growth, rising active users and 96% repeat transactions in fiscal Q1 2026.Affirm's real-time underwriting and expanding partners are improving operating leverage.AXP's revenues increased 11%, but its mature model limits upside versus faster-scaling fintech platforms.Affirm Holdings, Inc. (AFRM) and American Express Company (AXP) operate in different corners of the payments ecosystem, but both sit squarely at the intersection of consumer spending and credit. As payment ...

Target, Walmart, and Whole Foods will be added as defendants in lawsuits against baby formula maker ByHeart for selling a product potentially contaminated with spores that cause infant botulism. https://t.co/AwIdx8cRBo ...