Weak Walmart Outlook Hampers WMT Stock

by Christopher Freeburn | February 20, 2014 10:19 am

Weak Walmart Outlook Hampers WMT Stock

On Thursday, Walmart (WMT[1]) issued a weaker-than-expected earnings forecast[2]. WMT stock sank more than 2% on the news.

walmart store 300x180 Weak Walmart Outlook Hampers WMT Stock[3]
Source: Flickr[4]

WMT stock fell after the company predicted earnings of between $1.10 and $1.20 for the current quarter. That disappointed Wall Street, which was looking for current quarter earnings of about $1.23 per share of WMT stock, the Associated Press noted.

Walmart also estimated earnings for the fiscal year at between $5.10 and $5.45 per share, well below the annual profit of $5.56 per share of WMT stock that analysts had expected.

During the fourth quarter, the world’s largest retailer posted a profit of $4.43 billion, down 21% from $5.6 billion in the year-ago quarter. Adjusted EPS came in at $1.60 a share, which narrowly topped the $1.59 per share of WMT stock that analysts had estimated. But quarterly revenue of $128.79 billion fell short of the $129.9 billion that analysts had anticipated.

WMT stock closed at $74.85 per share on Wednesday. Over the past 12 months, WMT stock has gained about 8%.

Endnotes:
  1. WMT: http://studio-5.financialcontent.com/investplace/quote?Symbol=WMT
  2. issued a weaker-than-expected earnings forecast: http://www.latimes.com/business/la-fi-walmart-earns-20140220,0,1755644.story#axzz2tsEjfEKC
  3. [Image]: http://investorplace.com/wp-content/uploads/2011/06/walmart-store.jpg
  4. Flickr: http://www.flickr.com/photos/walmartcorporate/

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