Walmart Inc (WMT) Stock Pulled Back in May. Analysts See Upside Ahead

Walmart Inc (NASDAQ:WMT) is one of the best stocks to buy according to billionaire Bill Gates. While Walmart stock pulled back 12% in May, analysts see the stock rising at least 25% over the next year.

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On May 21, Walmart Inc (NASDAQ:WMT) released its fiscal Q1 2027 results that showed improvements in revenue and profit. The company also issued Q2 and full-year guidance, indicating growth.

In Q1, the retailer’s revenue rose 7.3% YoY to $177.8 billion. This growth was supported by a 26% increase in global e-commerce sales and a 37% jump in advertising sales. Membership fees also contributed to the growth, with fee revenue rising 17.4% globally.

That topline growth drove bottom-line improvements. EPS increased 19.5% YoY to $0.67 on a reported basis. The retailer exited the quarter with $10.7 billion in cash. It repurchased 16.6 million shares during the quarter, spending $2.1 billion on the program. Walmart has $28.2 billion remaining under its existing stock buyback authorization.

Looking ahead, Walmart expects its Q2 net sales to increase 4% to 5% YoY over the $175.8 billion it reported a year ago. It anticipated adjusted EPS in the band of $0.72 to $0.74, compared to $0.68 a year ago. For the fiscal year, the retailer expects its net sales to increase 3.5% to 4.5%.

Walmart Inc (NASDAQ:WMT) is a retail company that operates hypermarkets, department stores, grocery stores, and pharmacies. It operates stores under the namesake Walmart and Sam’s Club brands. In addition to a network of physical stores, Walmart serves shoppers through online platforms.

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