Walmart (WMT) Stock: Drops as Goldman Sachs and BofA Cut Price Targets After Q2 Earnings
TLDR
- Walmart stock fell 9% to a 2026 low after second-quarter earnings
- US comparable sales grew just 2.6%, the slowest pace in six years, missing the 3.7% forecast
- Average spending per transaction grew only 1.1%, down from 3.1% a year ago
- Goldman Sachs cut its price target from $141 to $130, while maintaining a Buy rating
- BofA Securities also lowered its target, from $144 to $126, also keeping a Buy rating
Walmart stock dropped 9.2% on Thursday, hitting a 2026 low, after the company reported second-quarter results that pointed to a slowing US consumer. The stock is now down more than 20% from its peak.
The company beat earnings expectations, posting adjusted earnings of $0.81 per share against a forecast of $0.74. Revenue came in at $187.9 billion, topping the expected $186.75 billion. Walmart also raised its full-year guidance. But none of that was enough for investors.
The number that stung was comparable sales. Excluding fuel, they grew just 2.6%, well below the 3.7% Wall Street had expected. That is the slowest comparable sales growth Walmart has posted since the pandemic.
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