The Walmart logo is seen outside one of its stores in Selinsgrove, Pennsylvania.
Pablo Tejedor | Light rocket | fake images
Walmart will report earnings before the bell on Tuesday, as inflation eases and the holiday season heats up.
Here's what the discounter is expected to report for the fiscal third quarter, according to a survey of analysts by LSEG:
- Earnings per share: 53 cents
- Revenue: $167.72 billion
The country's largest retailer will present its latest sales results and read about the American consumer on Wall Street as investors gauge consumer confidence and weigh the outlook for the most crucial shopping season of the year.
Retailers, including Walmart, are facing a combination of factors this holiday season. Inflation has moderated as gasoline prices fall and grocery inflation moderates. Fears that the process to determine the winner of the US presidential race would be prolonged never materialized.
However, President-elect Donald Trump's proposal to impose tariffs on imports from China and other countries has fueled new fears that prices will rise again. The holiday season is also shorter this year and some parts of the United States have had unusually warm weather, two dynamics that could hurt retailers.
Vacation spending is expected to increase this year, but at a modest pace. The National Retail Federation, a retail trade group, said it expects Christmas spending in November and December to increase between 2.5% and 3.5% compared to 2023, to a range of between $979.5 billion and $989 billion. of dollars. That would be less than the 3.9% year-over-year jump recorded between the 2022 and 2023 holiday seasons, when spending totaled $955.6 billion.
Walmart, for its part, has benefited from its large grocery business and growing online sales. The company raised its full-year forecast in August, saying it expects sales to rise between 3.75% and 4.75% for the full year, and adjusted earnings to come in between 2.35% and 2.35%. $43 per share. Still, its adjusted earnings outlook of between 51 cents and 52 cents a share in the third quarter was below what investors had anticipated at the time.
