Walmart Inc.(WMT)
NASDAQ

Fundamental Analysis & Financials

$122.99
-1.88 (-1.51%)

Valuation Snapshot

What the multiples imply about expectations

The market considers the company to be a mega-cap leader with a significant market presence. At current multiples, it trades at a premium—reflecting strong brand and market position, but leaving limited room for disappointment.

Valuation Metrics

Ratios and multiples

Forward P/E
38.07
EV/Revenue (TTM)1.53
Price/FCF (TTM)97.37

Financial Health

Liquidity and leverage

ROE (TTM)23.66%
ROA (TTM)6.54%
Debt/Equity (MRQ)66.75

The company's financial health appears excellent. High ROE and strong ROA reflect highly efficient capital use. Debt is elevated but represents structural leverage for shareholder return strategy (buybacks) rather than operational stress.

Valuation Multiples

Current valuation metrics

P/E Ratio44.30
P/B Ratio10.51
P/S Ratio1.44
EV/EBITDA25.13
PEG Ratio4.87

Quarterly Earnings History

Recent quarterly financial performance and trends

Latest Quarter
Q4 2025
Revenue (TTM)
$179.50B
Net Income (TTM)
$6.14B
EPS (Diluted)
$0.77
QuarterRevenueNet IncomeGross ProfitEPS (Basic)EPS (Diluted)Gross MarginNet Margin
Q4 2025(Latest)$179.50B$6.14B$44.79B$0.77$0.7725.0%3.4%
Q3 2025$177.40B$7.03B$44.63B$0.88$0.8825.2%4.0%
Q2 2025$165.61B$4.49B$41.31B$0.56$0.5624.9%2.7%
Q1 2025$180.55B$5.25B$44.38B$0.65$0.6524.6%2.9%

Key Insights:

  • Revenue increased by 1.2% from previous quarter
  • Net margin of 3.4% indicates low profitability
  • EPS declined by 12.5% quarter-over-quarter

Financial Efficiency

Utilization and collections performance

Asset Turnover 2.70 indicates high efficiency. Receivables Turnover 70.48 and DSO 5.18 reflect excellent collections. Working Capital Turnover -41.05 is highly efficient (negative due to negative working capital model). ROIC 17.6% highlights moderate capital returns.

Efficiency Metrics

Asset Turnover2.70
Receivables Turnover70.48
Working Capital Turnover-41.05
Days Sales Outstanding5.18
Days Inventory Outstanding40.25
ROIC (TTM)17.6%
Inventory Turnover9.07
Cash Conversion Cycle3.59

* Negative working capital indicates the company operates efficiently with vendors funding operations

Profitability & Growth

Margins and earnings power

Revenue (TTM)
$703.06B
5.80 YoY
Profit Margin (TTM)
3.26%
Operating Margin (TTM)
3.73%
Gross Profit (TTM)
$175.11B
Gross Margin 24.91%
EBITDA (TTM)
$42.71B
EBITDA Margin 6.07%
Net Income (TTM)
$22.91B
Earnings 35.20% YoY

Efficiency Performance Matrix

4-quadrant analysis of operational efficiency vs profitability

Efficiency vs Profitability Quadrants

High Efficiency
High Margin
High Efficiency
Low Margin
Low Efficiency
High Margin
Low Efficiency
Low Margin

Efficiency Analysis

Asset Turnover
Efficiency:2.70x
Margin:24.9%
Quadrant:Efficiency-Driven
Receivables Turnover
Efficiency:70.48x
Margin:3.7%
Quadrant:Efficiency-Driven
Working Capital
Efficiency:-41.05x(abs: -41.05x)
Margin:3.3%
Quadrant:Weak Operations
Overall Efficiency Score

Mixed efficiency profile requiring targeted improvements

⚠️ Thresholds are benchmark-based heuristics derived from long-term industry averages, not strict valuation rules.

• Bubble size represents ROIC magnitude

• Green (Optimal): Excellent efficiency-profitability balance

• Blue (Efficiency-Driven): High turnover, room to improve margins

• Yellow (Margin-Driven): Strong margins, opportunity to improve efficiency

• Red (Weak Operations): Areas needing improvement on both dimensions

Market Data & Share Structure

Comprehensive valuation metrics and ownership breakdown

Market Data & Capitalization

Market Cap
$1.01T
Mega-cap: Premium liquidity & institutional favorite
Enterprise Value
$1.07T
EV 6% > Market Cap: Net debt position
Next Earnings Date
02/19/2026
Earnings date has passed - awaiting update

Share Statistics & Ownership

Shares Outstanding
N/A
Total shares issued and held by all shareholders
Shares Float
N/A
Shares available for public trading
Institutional Ownership
N/A
Held by funds, pensions, endowments
Insider Ownership
N/A
Held by executives and board members
Shares Short
N/A
Shares sold short - bearish bets
Implied Shares Outstanding
N/A
Calculated from market cap and price

Profitability Margin Pyramid

Hierarchical view of margin compression from revenue to net income

Margin Hierarchy by Profitability Level

100.0%
Revenue
$703.06B
24.9%
Gross Profit
$175.11B
6.1%
EBITDA
$42.71B
3.3%
Net Income
$22.91B
Margin Profile:
Revenue100.0% margin (Top line revenue generation)
Gross Profit24.9% margin (Revenue minus cost of goods sold)
EBITDA6.1% margin (Earnings before interest, taxes, depreciation, and amortization)
Net Income3.3% margin (Bottom line profitability after all expenses)

Margin Analysis

Total Revenue

Amount:$703.06B
Margin:100.0%
Top line revenue generation

Gross Profit

Amount:$175.11B
Margin:24.9%
Revenue minus cost of goods sold

EBITDA

Amount:$42.71B
Margin:6.1%
Earnings before interest, taxes, depreciation, and amortization

Net Income

Amount:$22.91B
Margin:3.3%
Bottom line profitability after all expenses

Margin Quality Assessment

Thin margins indicating potential profitability challenges

• Larger circles represent higher dollar amounts

• Margin percentages show profitability at each level

• Blue: Revenue base

• Green: Gross profitability

• Yellow: Operating performance

• Red: Net profitability

Operating Cash & Liquidity

Core cash generation and short-term solvency

Cash Flow Analysis

Operating Cash Flow (TTM)

$40.98B

Cash from core operations

Free Cash Flow (TTM)

$10.37B

Available after capex

Financial Position & Liquidity

Current Ratio

0.80

Concerning

Quick Ratio

0.20

Weak

Net Cash

$-57.84B

Net debtor

Total Cash

$10.58B

Balance sheet cash

Total Debt

$68.42B

Outstanding borrowings

Dividends & Shareholder Returns

Policy stance and implications

The company maintains a sustainable dividend policy with a payout ratio of 34.4% (FCF coverage: 1.3x). Cash flow provides adequate dividend support with room for continued payments.

Payout Ratio
34.43%
Trailing Dividend Rate
0.94
Trailing Dividend Yield
0.75%
5 Year Avg Dividend Yield
1.32%
Forward Annual Dividend Rate
0.99
Ex-Dividend Date
03/20/2026
Last Split
02/26/2024 (3.00)