Ultimate magazine theme for WordPress.
BTC
$41,768.54
-1.72%
ETH
$3,115.05
-2.05%
LTC
$137.09
-4.1%
DASH
$127.45
-3.28%
XMR
$201.33
-1.49%
NXT
$0.01
-8.74%
ETC
$31.80
-3.67%
DOGE
$0.16
-2.76%
ZEC
$126.28
-4.9%
BTS
$0.03
-3%
DGB
$0.03
-2.4%
XRP
$0.74
-2.18%
BTCD
$104.92
-1.72%
PPC
$0.67
+0.6%
CRAIG
$0.01
-1.72%
XBS
$1.75
0%
XPY
$0.01
0%
PRC
$0.00
0%
YBC
$1,800.98
0%
DANK
$0.01
-1.72%

Walmart Stock Forecast & WMT Price Predictions for 2021, 2022-2025 and Beyond


Walmart holds the position of the world’s largest retailer. It’s a common name in the news. Its stores are known the world over. Still, Walmart’s shares are not as expensive as they could be. What are the reasons for this? Will WMT shares go up? Let’s discover analysts’ Walmart stock predictions and recommendations on Walmart’s shares.

The article covers the following subjects:

A Brief Overview of Walmart’s Shares

Walmart Inc. was established in 1945. The enterprise (known as Wal-Mart Stores, Inc. until February 2018) is made up of Walmart US, Walmart International, and Sam’s Club. The company is an operator in retail, wholesale, and other sectors globally. It manages around 11,400 stores and e-commerce websites under 54 banners in 26 countries. Walmart Inc. is based in Bentonville, Arkansas.

Check some data on Walmart stock (NYSE: WMT):

  • Market cap: $399.74 billion
  • Shares outstanding: 2,814 million
  • Public float:1.44 billion
  • P/E ratio: 33.03
  • Payout ratio: 36.97% (Based on This Year’s Estimates)
  • EPS (Most Recent Fiscal Year): $5.48
  • Dividend Yield: 1.55%
  • Annual dividend: $2.20
  • PEG Ratio (5-year expected): 3.27
  • Average volume: 8.92 million shares
  • WMT Dividend Frequency: Quarterly Dividend
  • WMT Three Year Dividend Growth: 5.88%

How much is WMT stock today? The current Walmart stock quote is 150.23 US dollar.

Walmart Inc. became publicly traded on October 1, 1970. The company managed to sell the first stock at $16.50. There were subsequently 9 stock splits, each at a two-to-one ratio. The first one took place on August 25, 1975.

Walmart raises its dividends constantly, increasing them by an average of 1.92% each year. When such a giant company as Walmart splits its shares, the market capitalization before and after the split doesn’t change significantly. It means the stockholder owns more shares, but they are valued at a lower price per share.

Major Factors That Will Affect Walmart Inc. In 2021 & Beyond

There is a number of factors that trigger price volatility. For the stock market, they include a company’s financial outlook, global investor sentiment, and strong demand/supply, along with internal company news and industry events. Walmart is the largest retailer, both domestically and internationally. Thus, events in the retail industry will have a significant impact on its stock price. 

Earnings Reports

Quarterly earnings expectations and actual reports are some of the key factors that drive the company’s shares. Financial projections make the stocks move ahead of a release of earnings data. If you check the reasons for historical price movements, you will notice that Walmart’s share price reacts strongly to earnings releases. Positive data lead to stock appreciation and vice versa.  

International Business

The company provides operations in retail and e-commerce segments in 24 countries across the globe and sources products from over 100 nations. Walmart frequently refocuses its international business. News regarding mergers or sales of a business will lead to stock appreciation/depreciation depending on the context of the deal. In 2021, the company is focusing on the Indian market. The enterprise is reorganizing its footprint in the country that will help to compete with Amazon.

Competition

The main competitor to Walmart Inc. is Amazon. The company handled the post-Covid retail landscape better than its rivals. Walmart’s US e-commerce growth exceeded the growth of Amazon’s retail sales. Also, the company launched Walmart+, which competes with Amazon Prime. To increase customer loyalty, the company created a convenient return system. A customer can return items in-store, for free by mail, and via a scheduled pick-up from their home. They will receive a full refund for the purchases. Better products and services will lead to an increase in the stock price.  

Gun Issues

It may sound strange, but Walmart is frequently in the news due to shootings in its stores. Any kind of shooting or even the suggestion of shooting can cause the stock price to drop. If the company manages to implement any new rules to protect its customers, it will support the strength of its equities.

Flipkart IPO

Walmart’s Flipkart is going to hold a US IPO in the fourth quarter of 2021. The IPO is expected to more than double the company’s investment as it could value Walmart at $45-$50 billion.

Walmart Stock Forecast for 2021: Analysts’ Recommendations

What is the future of Walmart’s stock? The average twelve-month price target of 27 Wall Street analysts is $162.71. The highest potential target is $181.00; the lowest possible price is $131.00. If you are not sure whether you should buy or sell, the consensus rating for WMT stocks is “Buying.” There is only 1 “Sell” stock rating and 5 “holding” ratings. Below you can find Walmart stock price predictions and recommendations by analysts as of May 19, 2021.

Paul Lejuez, Citigroup

Paul Lejuez, the analyst at Citigroup, raised Walmart’s stock price target from $172 to $179, maintaining the “Strong Buy” rating.

Michael Lasser, UBS

Michael Lasser at UBS increased the price target for Walmart’s shares to $170 from $160, keeping the “Strong Buy” rating.

Paul Trussell, Deutsche Bank

Paul Trussell at Deutsche Bank was even more optimistic and changed the price target from $165 to $181. He also maintained the “Strong Buy” rating.

Morgan Stanley

Morgan Stanley analyst’s report claimed an increase in the stock price to $160 from $154. The recommendation is still a “Strong Buy.”

Bill Kirk, MKM Partners

Bill Kirk at MKM Partners increased the price to $152 from $141. However, his recommendation is “Hold.” 

Walmart Inc. Shares: Technical Analysis

Let’s perform a technical analysis of the monthly chart to determine the global sentiment in the Walmart stock market.

Since October 2015, another wave of a bullish trend has been forming in the market (marked with a blue line). Let’s overlay a Fibonacci grid on the chart to reveal life cycles based on the history of Walmart stock prices and to understand current processes more deeply.

As a result, three trend development zones, which are worth paying attention to, are visible:

  • Gray zone of the trend base (1) – from 0 to 0.236 at Fibonacci levels. The price in it creates the risk of ending the trend

  • Red zones of consolidation (2) – from 0.236 to 0.5. Strong support and resistance levels are located at the borders of these zones. If you study the movement of the WMT/USD price in the past, it will become clear that it has repeatedly stopped in this zone.

  • Green zone (3) – from 0.5 to 0.618. At the moment, it marks the zone of historical highs. The exit of the price here will be met with strong resistance from sellers.

The absence of dynamic growth zones is explained by the low dynamics of the trend and the presence of long, dynamic corrections, which may indirectly indicate the weakness of the trend or its imminent end.

As can be seen on the chart above, the uptrend formed from March to August of this year stopped within the upper border of the second Fibonacci zone. The ATH* level at 153 USD was also involved here. The decreasing volumes, in this case, are only a confirmation that the price is in the consolidation zone.

*ATH – price decline from the highest price.

Given the low activity of buyers, the most likely scenario for the next year is the continuation of the trend with a gradual transformation to a sideways trend. The expected growth of the price is limited by the green line of the historical high. It is possible to test it in the coming months, but an analysis of lower timeframes is needed for more accurate estimates.

Walmart stock forecast for next three months

Let’s conduct a technical analysis of the daily timeframe to make a forecast for the next three months that will help to understand market processes better.

The upward surge that began in early October is confirmed by the signal of the MACD indicator, the indicator curve crosses the signal line from the bottom up (blue mark on the chart).

As a result, a corrective wave in the form of a triangle with completed waves A, B, C, D is formed on the price chart.

The internal structure of the figure confirms this assumption. It is known from Elliot’s theory that triangles have a 3-3-3-3-3 structure. The first four supposed waves have a three-wave structure (blue lines in the chart above). Consequently, wave E will probably develop with a target around 135 USD in the next three months.

Walmart price forecast for 2021

To estimate Walmart stock’s trading potential and make a realistic forecast for the next 12 months, we will examine the change in Bollinger Bands’ width and draw price projections for each month.

 

The wave D must have formed already. If the current correction continues, the Walmart stock price may continue growing to 153 USD. The next fifth wave will likely stop in the red consolidation zone. The price target of 135 USD may be reached towards the end of the year.

Since we haven’t identified any global trend reversal signs during the technical analysis of Walmart shares on the monthly chart, we will presume the global trend will continue in the projected fifth wave. So, the price may be expected to reverse to the upside at the end of 2021 or the beginning of 2022, the price target being in the third Fibo zone. The all-time high may be updated at around 170 – 180 USD. Then, a corrective wave pattern may replace projected growth. The nearest strong support level is around the global blue trend line. That level is highly likely to be tested next year.

The table below presents an expected Walmart trading range for each month.

Month

WMY/USD price

Minimum

Maximum

November

2021

134

154

December

2021

133

150

January

2022

136

152

February 

2022

141

157

March

2022

148

166

April

2022

156

174

May

2022

164

178

June

2022

152

169

July

 2022

141

162

August

2022

131

152

September

2022

132

150

October

2022

134

153

Walmart Long-Term Trading Plan

Here’s a long-term trading plan for Walmart shares based on the above analysis.

Earlier, we made sure the market was consolidating in a global corrective wave. The long-term uptrend is likelier to continue, so at least one more ascending wave can be expected to form. An exit to the upside from the current triangle will be the most obvious sign of its beginning. 

At the same time, the technical analysis of the daily chart suggests the price can drop to the triangle’s lower limit in the short term. There, at 135 USD, lies the best point for buying. Stop Loss should be placed below the last local low, underneath the limit between zone 1 and 2, at around 130 US dollars (the red line).

WMT/USD projected price target is around 170 USD, the green line on the chart. We can also fix half the position at around 158 USD, the limit between zone 2 and 3. 

Remember to observe your risk management rules! Take care of yourself and your money!

Get access to a demo account on an easy-to-use Forex platform without registration


Go to Demo Account

WMT technical analysis is presented by Mikhail Hypov.

WMT Stock Forecast for 2022

What is Walmart stock’s future? Walmart stocks are expected to keep growing in 2022. However, the rise won’t be significant. The opening price for January 2022 is $155.918, the closing price for the end of next year is $175.039. The highest price doesn’t differ from the opening and closing prices. It signals low price volatility, which is positive for long-term investors.

Month Opening price Closing price Minimum price Maximum price
January 2022

 155.918

 156.940

 155.918

 156.940

February 2022

 157.176

 155.879

 155.879

 157.301

March 2022

 156.030

 157.960

 155.754

 157.960

April 2022

 158.083

 160.712

 158.083

 160.888

May 2022

 160.597

 162.141

 160.388

 162.141

June 2022

 162.109

 162.922

 162.109

 162.922

July 2022

 163.046

 166.126

 163.046

 166.221

August 2022

 166.126

 168.160

 166.126

 168.179

September 2022

 168.206

 169.422

 168.206

 169.450

October 2022

 169.552

 171.504

 169.552

 171.504

November 2022

 171.790

 174.769

 171.773

 174.866

December 2022

 174.730

 175.039

 174.348

 175.039

Source: Wallet Investor

WMT Shares Forecast for 2023

The bullish trend of WMT shares will continue in 2023. The opening price at the beginning of the year is 175.223 USD. By the end of 2023, the price will reach $194.333. The source doesn’t predict large price fluctuations. The minimum and maximum rates won’t be far from the average price.

Month

Opening price

Closing price

Minimum price

Maximum price

January 2023

 175.223

 176.518

 175.223

 176.518

February 2023

 176.446

 175.480

 175.339

 176.693

March 2023

 175.321

 177.310

 175.130

 177.310

April 2023

 177.671

 180.117

 177.671

 180.259

May 2023

 180.024

 181.399

 179.802

 181.420

June 2023

 181.437

 182.272

 181.437

 182.272

July 2023

 182.651

 185.502

 182.651

 185.569

August 2023

 185.712

 187.485

 185.581

 187.485

September 2023

 187.566

 188.752

 187.566

 188.794

October 2023

 188.868

 191.071

 188.868

 191.071

November 2023

 191.047

 194.114

 191.047

 194.223

December 2023

 194.111

 194.333

 193.713

 194.333

Source: Wallet Investor

Long-Term Walmart Stock Forecast for 2025 and Beyond

What is Walmart’s stock forecast for the next 5 years? If you compare the end of 2023 when the price is expected to stay at $194.333, and the beginning of 2025 with the rate of $214.055, you will notice a narrow gap between the two. It means that the future growth of Walmart’s shares will be limited within the next 5 years. However, there will be a stable long-term uptrend, which is more crucial for long-term investments.

Month

Opening price

Closing price

Minimum price

Maximum price

January 2025

 214.055

 215.156

 214.055

 215.193

February 2025

 215.219

 214.073

 214.073

 215.441

March 2025

 213.930

 216.117

 213.930

 216.117

April 2025

 216.447

 218.905

 216.447

 219.037

May 2025

 218.835

 220.084

 218.555

 220.084

June 2025

 220.276

 221.078

 220.276

 221.078

July 2025

 221.411

 224.333

 221.411

 224.460

August 2025

 224.336

 226.116

 224.336

 226.116

September 2025

 226.351

 227.765

 226.351

 227.765

October 2025

 227.708

 229.732

 227.708

 229.732

November 2025

 229.980

 232.857

 229.980

 232.883

December 2025

 232.853

 233.353

 232.483

 233.388

2026

January 2026

 233.384

 234.495

 233.384

 234.530

February 2026

 234.571

 233.530

 233.530

 234.829

March 2026

 233.353

 235.672

 233.337

 235.672

April 2026

 235.693

 238.258

 235.693

 238.445

May 2026

 238.223

 238.895

 237.934

 238.895

Source: Wallet Investor

As you can see, there is no Walmart stock projection for the second half of 2026 and beyond. The reason for this lies in the frequent market changes. Analysts and market experts don’t provide such long-term Walmart shares price predictions as they are very approximate and reviewed constantly. 

Walmart’s Price History: A Timeline

Historical accuracy plays a significant role when talking about the future price of an asset. It would be interesting to consider the stock performance since the company became publicly traded, but we don’t have enough time to do that in its entirety. That’s why we will look at the price movements over the last 3 years.

On January 29, 2018, Walmart stocks reached their then highest rate of $109.98. Nevertheless, it was a turning point for the overall trend. By June, the shares slid to $81.81. 2018 wasn’t a positive year for Walmart Inc. The company’s shares couldn’t climb even after a better-than-expected third-quarter earnings report published in November.

Additional internal improvements didn’t support the stock’s price either. The company began implementing StrongArm Technologies Fuse Risk Management Platform at its warehouses. The platform aims at targeted injury reduction. Why was Walmart’s stock down? The decline in the share’s price was caused by general market volatility, worries about the company’s digital strategy and acquisition moves.

In 2019, the company’s shares recovered while an upward trend prevailed. Walmart performed well; earnings reports beat market expectations, pushing the share’s price up. In July and the first half of August, the stocks were declining due to deadly shootings at Walmart’s Mississippi store in July, and then at a Walmart in El Paso, Texas in August. Later, the price recovered as the enterprise stopped selling short-barrel rifle ammunition, handgun ammunition, and handguns in Alaska. Additionally, the company asked clients to stop carrying firearms in stores.

Throughout February-March 2020, the stocks experienced enormous volatility. While most of the companies suffered from a stock crash, Walmart’s equities moved up and down. The company stayed above water as consumers spent more of their disposable cash on food and essentials, instead of on vacations or dining out. 

The company managed to adapt to the changing reality caused by Covid-19. Walmart Inc. implemented a Walmart+ membership service for unlimited free delivery, in-store Scan & Go checkouts, and discounts on fuel. Also, Walmart benefited from stimulus checks and unemployment benefits that increased consumer spendings. On November 30, the price reached an all-time high of $152.95. 

At the end of the year, the US Department of Justice sued the company for contributing to America’s opioid crisis. The lawsuit claimed Walmart Inc. forced its staff to fill prescriptions ASAP and withheld information from pharmacists, indicating that such orders were not for medical purposes. This event added to the downtrend that continued until the beginning of March 2021. In March, the bullish trend began. Impressive earnings and revenue data for the first quarter supported the price in May. 

Is It Good to Invest in Walmart (WMT)?

It seems Walmart’s stocks are undervalued. Although the corporation is the world’s largest retailer and it became publicly traded a long time ago, its shares are quite cheap. How much will Walmart’s stock be worth in 10 years? Have a look at the projected stock performance for the next 10 years.

Year

Average

Minimum value

Maximum value

2021

$176.27

$148.44

$208.1

2022

$316.05

$223.27

$414.07

2023

$359.16

$240.74

$456.78

2024

$221.79

$210.38

$237.83

2025

$243.61

$207.76

$271.23

2026

$348.21

$277.05

$501.56

2027

$538.65

$433.4

$573.7

2028

$335.91

$257.99

$403.15

2029

$218.27

$205.29

$245.36

2030

$269.53

$235.17

$337.27

Source: AI Pickup LLC

Analysts’ price projections are optimistic. Still, there are many factors that can change rosy forecasts for Walmart. Additionally, stock trading is challenging. Thus, before entering the real market, you can open a LiteForex demo account that resembles the real-market conditions and allows you to practice without the risk of loss.

Walmart Price Prediction FAQ

Price chart of WMT in real time mode

The content of this article reflects the author’s opinion and does not necessarily reflect the official position of LiteForex. The material published on this page is provided for informational purposes only and should not be considered as the provision of investment advice for the purposes of Directive 2004/39/EC.

Rate this article:

{{value}} ( {{count}} {{title}} )



https://fbs.com/?ppk=forexplatform&lang=en

Source link

Comments are closed.