Walmart (WMT) – Among the 14 Best S&P 500 Stocks to Buy Now According to Analysts

Walmart Inc. (NASDAQ:WMT) is included among the 14 Best S&P 500 Stocks to Buy Now According to Analysts.

Walmart (WMT) - Among the 14 Best S&P 500 Stocks to Buy Now According to Analysts

Niloo / Shutterstock.com

Walmart Inc. (NASDAQ:WMT) engages in the operation of retail and wholesale stores and clubs, ecommerce websites, and mobile applications worldwide. The company’s 2.1 million associates serve customers and members in communities spanning 19 countries.

On June 5, Erste Group downgraded Walmart Inc. (NASDAQ:WMT) from ‘Buy’ to ‘Hold’, without assigning the stock a price target. According to the analyst firm, the stock is highly overvalued in relation to its projected earnings growth and compared to its peers, limiting the potential for further gains.

Walmart Inc. (NASDAQ:WMT) came under pressure after sticking to its conservative annual sales and profit targets in its Q1 report last month, even as the soaring fuel costs drove bargain-hunting shoppers to its low-priced groceries and essentials. The company’s annual guidance includes net sales growth of 3.5% ​to 4.5%, and EPS in the range of $2.75 and $2.85.

While Walmart expects net sales to be near the top of that guidance, the outlook was still deemed as cautious, as the company has been mostly insulated from weak spending, since its scale helps keep prices low despite the tariffs and geopolitical ​volatility.

While we acknowledge the risk and potential of WMT as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than WMT and that has 10,000% upside potential, check out our report about this cheapest AI stock.

READ NEXT: 12 High Yield Fortune 500 Stocks to Buy Now and 10 Most Volatile Stocks to Buy in S&P 500

Disclosure: None. Follow Insider Monkey on Google News.

1281292 - 11759070 - 1