Insider Insights: Analysts’ Predictions on Walmart Stock Before Earnings Reveal

Key Takeaways

• Walmart will announce its fourth-quarter earnings on Thursday. Sales and profits are expected to increase.
• Most analysts suggest a “buy” rating for Walmart stock, but the expected price growth is limited.
• Some analysts predict that Walmart will surpass their earnings expectations, though they anticipate cautious forecasts for next year.

Walmart (WMT) is gearing up to share its earnings report for the fourth quarter of fiscal 2025. Analysts are optimistic, projecting a rise in sales and profits for the leading retail company.

Out of 21 analysts tracking Walmart, 20 have given it a “buy” or similar rating. However, the average price target sits at $109, which indicates minimal upside from Wednesday’s close near record levels.

Analysts estimate Walmart will report $180.3 billion in revenue for the quarter, marking a 4% increase from the previous year. They also expect adjusted earnings per share of 64 cents, a 7% rise from last year. This earnings report might show Walmart’s first quarterly revenue figure falling short compared to Amazon, which reported $187.8 billion earlier this month.

Analysts Expect Strong Performance but Conservative Projections

In recent weeks, several analysts have raised their price targets for Walmart as they anticipate the company will keep gaining market share and likely surpass earnings estimates.

Analysts at Morgan Stanley and Deutsche Bank have increased their targets to $115. Meanwhile, JPMorgan and Bank of America have raised theirs to $112 and $120, respectively.

Melius Research analysts recently emphasized their belief that Walmart can “meaningfully beat” the fourth-quarter estimates. However, they noted that the market’s expectations could be quite high. They, along with Morgan Stanley, suggest Walmart will stick to its conservative approach for initial fiscal 2026 projections, though they see continued growth in the retail giant’s stock price this year.

With rising concerns about tariffs and other policy changes, analysts at Morgan Stanley pointed out that investors are leaning towards companies with strong market positions and efficient supply chains. They believe Walmart is well-positioned to weather these challenges.

Walmart shares have surged nearly 80% in the past year, closing at $104 on Wednesday, close to last week’s record closure of $105.05.