About 10 days before Black Friday — one of the most anticipated shopping days for shoppers — the big-box retailer Walmart reported better-than-expected revenue and earnings.
And good news for consumers: The company plans to set up Thanksgiving staples cost At the same level as in 2021.
For the third quarter of the financial year, Walmart generated more than $152 billion in total revenueThat beat Wall Street analysts’ expectations of nearly $148 billion. The company reported adjusted earnings per share of $1.50 for the quarter, compared to the $1.32 that analysts were expecting.
Walmart saw growth in its grocery sales this quarter as it rolled out various deals to appeal to budget-conscious consumers.
“With our deals for Days Across America and a Thanksgiving meal that costs the same as last year, we’re helping make this an affordable and special time for families around the world,” said Walmart CEO Doug McMillan. Press release.
Shoppers can take advantage of savings on holiday groceries through December 26. According to Walmart’s website.
In addition to increased grocery sales, Walmart got a boost from the U.S. and a strong back-to-school shopping season from global sales events in countries like India and China, McMillon said on a call with investors.
Again in the second quarter, Walmart’s earnings beat Wall Street analysts’ expectations Affected by inflation, shoppers sought affordable necessities such as groceries rather than discretionary items such as clothing.
Walmart shares The company rose on Tuesday following the earnings call.
If you invested $1,000 in Walmart a year ago, you’d have a modest return on your investment of about $1,024 as of Nov. 15, according to CNBC’s calculations. These calculations were made after markets opened and were based on a stock price of $149.
If you invested $1,000 in Walmart five years ago, your investment would be worth about $1,755 as of Nov. 15, according to CNBC’s calculations.
If you had invested $1,000 in Walmart a decade ago, your investment would have doubled in value to $2,377 as of Nov. 15, according to CNBC’s calculations.
Walmart is expected to continue to perform well The company’s focus on low prices during the holiday season is expected to continue to attract price-conscious consumers, Deutsche Bank analyst Krisztina Katai predicted ahead of the earnings report.
However, Walmart’s performance could be affected by a variety of factors, such as changes in consumer buying habits or further increases in labor costs, Mustard adds.
With this in mind, it is important to always remember that a stock’s past performance should not be used as an indicator of how well it will perform in the future.
Given the unpredictability of the stock market, a passive investment strategy makes more sense for most investors than investing in individual stocks.
Investing in a market index like the S&P 500 is a good way to start. Because the S&P 500 tracks the stock performance of the largest U.S. publicly traded companies, investing in an S&P 500 index fund or exchange-traded fund (ETF) is a great way to gain exposure to many well-known companies.
Through Nov. 15, the S&P 500 is down about 15% from 12 months ago, according to CNBC calculations. However, the index has increased by about 55% since 2017 and by about 196% since 2012.
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