Categories: Invest

Walmart reports higher than projected EPS. Will the $135 support hold?

Walmart Inc. (NYSE:WMT) reaffirmed the support level of $135 before announcing annual results. The valuation coincided with a sector-wide trend affecting consumer stocks as the markets adjusted to the developing crisis between Russia and Ukraine and concerns over the inflation rate.

Analysts, however, remain bullish as the company’s results indicate a 10.1% growth in EPS to $1.53. Following the results, the stock jumped from the $135 support and traded at $137 at press time.


Are you looking for fast-news, hot-tips and market analysis?

Sign-up for the Invezz newsletter, today.

Already, Walmart had a good week, with analysts adjusting the estimations of the company’s EPS ratios upwards in anticipation of better performance results. The expected EPS was adjusted from $1.39 to $1.50 on the back of growing demand.

The results show adjusted EPS at $1.53 on the back of divestitures in the UK, Japan, and Argentina. Unadjusted EPS stands at $1.28. The company’s share performance is expected to trend upwards as the market absorbs news of the performance. Going forward, inflation will be Walmart’s key concern.

Walmart reaffirms $135 support after a pre-market decline

Source – TradingView

Technically, Walmart has been trading within a range since October. The bottom of the range was at the $135 support, while the top was at the $150 resistance. With the strong quarterly results, $135 is likely to hold, opening short-term trades within the range. From the weekly chart above, the price is already rebounding from the support, with a key target at the $150 resistance.

Summary

WMT is projected to maintain a bullish trend from the $135 support level. Analyst ratings remain bullish on the company’s financial performance. Annual results show 10.1% growth in EPS mainly due to divestitures. The share price will face resistance at $150.

Where to buy right now

To invest simply and easily, users need a low-fee broker with a track record of reliability. The following brokers are highly rated, recognised worldwide, and safe to use:

  1. Etoro, trusted by over 13m users worldwide. Register here >
  2. bitFlyer, simple, easy to use and regulated. Register here >
admin

Share
Published by
admin

Recent Posts

Is there a way for the crypto sector to avoid Bitcoin’s halving-related bear markets?

There is good reason to be afraid. Previous down markets have seen declines in excess…

2 years ago

UPS and FedEx are good dividend stocks, but which should you take?

United Parcel Service, Inc. (NYSE:UPS) and FedEx Corporation (NYSE:FDX) are two robust logistics companies. Both…

2 years ago

Bitfarms sold 3K Bitcoin as part of strategy to improve liquidity and pay debts

Canadian crypto mining firm Bitfarms sold roughly $62 million worth of Bitcoin (BTC) in June,…

2 years ago

This biotech stock is up 100% on Tuesday: here’s the catalyst

Invezz does not provide financial advice. Our aim is to simplify information about investing, enabling…

2 years ago

Japanese film studio announces the production of a series based on crypto

Noma, a Japanese film studio, has announced that it is producing three feature films that…

2 years ago

Bitcoin price taps 5-day highs as Shiba Inu leads altcoin gains

Bitcoin (BTC) saw continued strength on June 21 as Wall Street trading opened with a…

2 years ago