Walmart stock slips 2% in premarket trading after Q3 earnings
Walmart raised its full-year sales and earnings outlook on Thursday after posting stronger-than-expected fiscal third-quarter results, fuelled by double-digit e-commerce growth and a continued influx of customers across income levels.
The retailer now expects full-year net sales to rise between 4.8% and 5.1%, compared with a prior range of 3.75% to 4.75%.
Adjusted earnings per share are projected to come in between $2.58 and $2.63, slightly above its earlier estimate of $2.52 to $2.62.
It marks the second straight quarter in which Walmart has upgraded its guidance.
The results come a week after the Arkansas-based company announced a leadership transition.
John Furner, currently head of Walmart’s US business, will succeed longtime CEO Doug McMillon on Feb. 1.
Walmart’s stock slipped about 2% in premarket trading on Thursday.
As of Wednesday’s close, the shares were up about 11% year-to-date, trailing the S&P 500’s nearly 13% gain over the same period.
Separately, Walmart said it will transfer its stock listing to the Nasdaq, beginning trading there on Dec. 9 under the same ticker, WMT.
The shares currently trade on the New York Stock Exchange.
Quarterly results exceed Wall Street expectations
For the fiscal third quarter ending Oct. 31, Walmart posted adjusted earnings per share of 62 cents, outperforming analyst expectations of 60 cents, according to LSEG.
Revenue reached $179.50 billion, surpassing forecasts of $177.43 billion and rising from $169.59 billion in the same period last year.
Net income rose to $6.14 billion, or 77 cents per share, compared with $4.58 billion, or 57 cents per share, a year earlier.
Excluding one-time items, including reorganisation charges, adjusted earnings were 62 cents per share.
Comparable sales for Walmart US, excluding fuel, climbed 4.5%, beating StreetAccount estimates of 4% growth.
E-commerce remained a key driver of performance, with global online sales rising 27%.
In the US, e-commerce grew 28%, supported by higher store-fulfilled delivery volumes, increased advertising revenue and continued expansion of Walmart’s third-party marketplace.
Expanded customer base and inflation-driven shifts
Walmart’s role as a barometer of US consumer health remains central as shoppers react to inflationary pressures and the effects of President Donald Trump’s tariffs on retail prices.
The company has attracted more high-income customers in recent years as elevated grocery bills pushed even affluent households to seek value.
Store remodels and improved delivery speeds have further strengthened that trend.
The retailer continues to benefit from its broad assortment across both discretionary and essential categories — from apparel and cosmetics to milk and household staples — providing insight into consumer spending patterns across the economy.
Walmart is the latest major retailer to report quarterly results, following a string of cautious updates across the sector.
Target and Home Depot both cut their full-year forecasts after posting weaker-than-expected sales.
Other consumer-focused companies, including several restaurant operators, have also flagged softer spending among younger customers, underscoring a broader pullback in discretionary demand.
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