📊 WMT Key Takeaways
Is Walmart Inc. (WMT) a Good Investment?
Walmart exhibits mixed fundamentals as improved operational efficiency (net income +10.5%) offsets revenue stagnation (+1.0%), but negative free cash flow (-$1.9B) and deteriorating liquidity ratios present material concerns about capital allocation and financial flexibility. The business remains solvent but requires strategic adjustment.
Walmart shows durable core fundamentals with very large-scale revenue, strong cash generation, solid returns on equity and assets, and manageable leverage. Profitability remains thin as expected for mass retail, but operating income, interest coverage, and free cash flow support a fundamentally resilient business despite modest top-line growth and slight net income pressure.
Walmart Inc. Key Strengths (WMT)
- Net income growth (+10.5%) outpacing revenue growth (+1.0%) demonstrates improving operational efficiency and cost discipline
- Strong interest coverage ratio (13.1x) provides substantial debt service capacity and financial flexibility
- Positive operating cash flow of $4.7B supports continuing operations and capital obligations despite negative FCF
- Strong operating cash flow and positive free cash flow generation
- Healthy balance between leverage and earnings capacity with 12.9x interest coverage and 0.38x debt/equity
- High return metrics for a defensive retailer, including 22.0% ROE and 7.7% ROA
WMT Stock Risks: Walmart Inc. Investment Risks
- Negative free cash flow (-$1.9B) indicates capital expenditures exceed cash generation; unsustainable without debt growth or asset sales
- Deteriorating liquidity ratios (current 0.77x, quick 0.23x) raise concerns about short-term financial flexibility
- Minimal revenue growth (+1.0%) combined with thin net margins (3.0%) provides limited cushion for cost inflation or competitive pressures
- Revenue growth is slow at 1.0% YoY, limiting fundamental upside without margin expansion
- Thin operating and net margins leave limited room for execution errors or cost inflation
- Weak liquidity ratios with a 0.79x current ratio and 0.24x quick ratio increase reliance on efficient working capital management
Key Metrics to Watch
- Free cash flow trajectory and sustainability of current capital expenditure levels
- Liquidity position improvement through working capital optimization
- Revenue growth acceleration and operating margin maintenance
- Operating margin trend
- Free cash flow after capital expenditures
Walmart Inc. (WMT) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
WMT Profit Margin, ROE & Profitability Analysis
WMT vs Consumer Sector: How Walmart Inc. Compares
How Walmart Inc. compares to Consumer sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Walmart Inc. Stock Overvalued? WMT Valuation Analysis 2026
Based on fundamental analysis, Walmart Inc. has mixed fundamental signals relative to the Consumer sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Walmart Inc. Balance Sheet: WMT Debt, Cash & Liquidity
WMT Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Walmart Inc.'s revenue has grown significantly by 24% over the 5-year period, indicating strong business expansion. The most recent EPS of $1.91 reflects profitable operations.
WMT Revenue Growth, EPS Growth & YoY Performance
WMT Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2027 | $164.0B | $4.5B | $0.56 |
| Q3 2026 | $168.0B | $4.6B | $0.57 |
| Q2 2026 | $167.8B | $4.5B | $0.56 |
| Q1 2026 | $159.9B | $4.5B | $0.56 |
| Q3 2025 | $159.4B | $453.0M | $0.06 |
| Q2 2025 | $160.3B | $4.5B | $0.56 |
| Q1 2025 | $151.0B | $1.7B | $0.21 |
| Q3 2024 | $151.5B | $453.0M | $0.17 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Walmart Inc. Dividends, Buybacks & Capital Allocation
WMT SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Walmart Inc. (CIK: 0000104169)
📋 Recent SEC Filings
| Date | Form | Document | Action |
|---|---|---|---|
| Jun 8, 2026 | 4 | xslF345X06/wk-form4_1780959019.xml | View → |
| Jun 8, 2026 | 4 | xslF345X06/wk-form4_1780958926.xml | View → |
| Jun 8, 2026 | 4 | xslF345X06/wk-form4_1780958824.xml | View → |
| Jun 8, 2026 | 4 | xslF345X06/wk-form4_1780958710.xml | View → |
| Jun 8, 2026 | 4 | xslF345X06/wk-form4_1780958567.xml | View → |
❓ Frequently Asked Questions about WMT
What is the AI rating for WMT?
Walmart Inc. (WMT) has a Combined AI Grade of A from Claude (B) and ChatGPT (A) with 62% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are WMT's key strengths?
Claude: Net income growth (+10.5%) outpacing revenue growth (+1.0%) demonstrates improving operational efficiency and cost discipline. Strong interest coverage ratio (13.1x) provides substantial debt service capacity and financial flexibility. ChatGPT: Strong operating cash flow and positive free cash flow generation. Healthy balance between leverage and earnings capacity with 12.9x interest coverage and 0.38x debt/equity.
What are the risks of investing in WMT?
Claude: Negative free cash flow (-$1.9B) indicates capital expenditures exceed cash generation; unsustainable without debt growth or asset sales. Deteriorating liquidity ratios (current 0.77x, quick 0.23x) raise concerns about short-term financial flexibility. ChatGPT: Revenue growth is slow at 1.0% YoY, limiting fundamental upside without margin expansion. Thin operating and net margins leave limited room for execution errors or cost inflation.
What is WMT's revenue and growth?
Walmart Inc. reported revenue of $177.8B.
Does WMT pay dividends?
Walmart Inc. pays dividends, with $1,972.0M distributed to shareholders in the trailing twelve months.
Where can I find WMT SEC filings?
Official SEC filings for Walmart Inc. (CIK: 0000104169) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is WMT's EPS?
Walmart Inc. has a diluted EPS of $0.67.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is WMT's fundamental grade?
Based on our AI fundamental analysis in June 2026, Walmart Inc. has a A grade with 62% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.
Is WMT stock overvalued or undervalued?
Valuation metrics for WMT: ROE of 5.7% (sector avg: 18%), net margin of 3.0% (sector avg: 8%). Compare these metrics with sector averages to assess valuation.
What is WMT's AI grade for 2026?
Our dual AI analysis gives Walmart Inc. a combined A grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is WMT's free cash flow?
Walmart Inc.'s operating cash flow is $4.7B, with capital expenditures of $6.7B. FCF margin is -1.1%.
How does WMT compare to other Consumer stocks?
Vs Consumer sector averages: Net margin 3.0% (avg: 8%), ROE 5.7% (avg: 18%), current ratio 0.77 (avg: 1.5).