Analyst Note| Noah Rohr |
Wide-moat Walmart delivered solid second-quarter results, posting robust growth in comparable sales and operating profit, as the retailer's low-price value proposition continues to resonate with consumers. In response, management raised its fiscal 2024 adjusted earnings per share guidance by a mid-single-digit percentage to a range of $6.36-$6.46. Given Walmart’s dominant position in high-frequency categories such as grocery, we believe the retailer is well positioned to navigate an uncertain economic environment. We maintained our fair value estimate of $145 per share.