Bentonville, Arkansas-based Walmart Inc. (WMT) operates discount stores, supercenters, and neighborhood markets. With a market cap of $1 trillion, the company offers merchandise such as apparel, housewares, small appliances, electronics, musical instruments, books, home improvement, shoes, jewelry, toddler, games, household essentials, pets, pharmaceutical products, party supplies, and automotive tools. 

Shares of this retail giant have outperformed the broader market over the past year. WMT has gained 32.1% over this time frame, while the broader S&P 500 Index ($SPX) has rallied nearly 29.1%. In 2026, WMT’s stock rose 13.9%, surpassing the SPX’s 4.3% rise on a YTD basis. 

Zooming in further, WMT’s outperformance is also apparent compared to State Street SPDR S&P Retail ETF (XRT). The exchange-traded fund has gained about 22.4% over the past year. Moreover, WMT’s double-digit gains on a YTD basis outshine the ETF’s 1% dip over the same time frame.

Walmart beat expectations in Q4 thanks to strong online growth and market share gains. Global e-commerce sales jumped about 24%, with fast delivery under 3 hours growing over 60% as automation and better inventory tech sped up fulfillment. Its AI shopping assistant Sparky drove 35% higher order values for users, while fashion and general merchandise sales were strong both in-store and online. U.S. e-commerce turned profitable all year, now making up 23% of total sales. Management plans to keep leaning on automation, AI, and digital to grow profits, even if revenue growth slows, while staying cautious on macro risks and pharmacy pricing changes.

For fiscal 2027, ending in January 2027, analysts expect WMT’s EPS to grow 9.5% to $2.89 on a diluted basis. The company’s earnings surprise history is mixed. It beat the consensus estimate in three of the last four quarters while missing the forecast on another occasion.

Among the 38 analysts covering WMT stock, the consensus is a “Strong Buy.” That’s based on 30 “Strong Buy” ratings, five “Moderate Buys,” two “Holds,” and one “Strong Sell.”

This configuration is more bullish than a month ago, with 29 analysts suggesting a “Strong Buy,” and six recommending a “Moderate Buy.”

On Apr. 22, Morgan Stanley (MS) kept an “Overweight” rating on WMT and raised the price target to $140, implying a potential upside of 9.7% from current levels.

The mean price target of $138.50 represents an 8.6% premium to WMT’s current price levels. The Street-high price target of $150 suggests an upside potential of 17.6%.

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