Walmart Plunges 10% Despite Earnings Beat and Raised Guidance

Earnings Impact 4

โดย The Motley Fool·

Summary · why it matters

Walmart shares fell about 10% on Thursday even after the retail giant beat Wall Street estimates and raised its full-year guidance, dragging all three major U.S. indexes lower. The S&P 500 was down 0.29%, the Dow Jones Industrial Average fell 0.64%, and the Nasdaq Composite dropped 0.80% as of 11:44 a.m. ET. Walmart's domestic comparable sales grew just 2.6%, well short of the roughly 3.7% analysts expected and the slowest pace since Q4 2020, while about $2.9 billion of the quarter's earnings surprise came from tariff refunds rather than core operations. The stock's 9.8% decline added to a 21.3% drop over the last three months, and with an $826 billion market cap it weighed heavily on the S&P 500 and Nasdaq. Oil prices rose about 3% after the United Arab Emirates suspended all financial transactions with Iran, and 30-year Treasury yields remained near multi-decade highs, while Treasury Secretary Scott Bessent announced bigger buybacks of long-dated debt and admitted liquidity there is very poor. Deere rose 9.4% on another beat-and-raise report, and Micron Technology gained 1.8% while SK Hynix added 3.7%.