Walmart's Q4 Earnings Beat And Strategic VIZIO Buy Impresses Analyst, Says Shares Poised to Rise
Portfolio Pulse from Anusuya Lahiri
Walmart's Q4 earnings surpassed expectations with an adjusted EPS of $1.80, beating both analyst Kate McShane and Wall Street estimates. U.S. same-store sales rose by 4.0%, driven by increased traffic. The company also announced the acquisition of VIZIO Holding Corp for $2.3 billion to enhance Walmart Connect's growth. Walmart initiated 2024 guidance with adjusted EPS of $6.70-7.12 and net sales growth of +3.0-4.0%, aligning with or slightly surpassing estimates. Goldman Sachs analyst Kate McShane reiterated a Buy rating on Walmart with a $180 price target, expecting the stock to rise.
February 20, 2024 | 10:48 pm
News sentiment analysis
Sort by:
Descending
POSITIVE IMPACT
VIZIO Holding Corp was acquired by Walmart for $2.3 billion, aiming to support the growth of Walmart Connect's U.S. advertising.
The acquisition of VIZIO by Walmart for $2.3 billion is a significant strategic move, likely to enhance Walmart Connect's growth. This could be viewed positively by investors, potentially leading to a short-term positive impact on VIZIO's stock.
CONFIDENCE 85
IMPORTANCE 90
RELEVANCE 90
POSITIVE IMPACT
Walmart's Q4 earnings exceeded expectations with an adjusted EPS of $1.80 and U.S. same-store sales growth of 4.0%. The company's acquisition of VIZIO for $2.3 billion is aimed at enhancing Walmart Connect's growth. 2024 guidance is positive, aligning with or surpassing estimates.
Walmart's better-than-expected Q4 earnings and positive 2024 guidance, along with strategic acquisition of VIZIO, indicate strong company performance and growth prospects, likely leading to a positive short-term impact on its stock price.
CONFIDENCE 90
IMPORTANCE 95
RELEVANCE 100