Tag Archives: Walmart

by | May 17, 2021 · 7:16 pm

Walmart and Target in focus

Walmart and Target is in focus for me this week. Two corporations in the same business but also very different. Walmart is a giant while Target is smaller with more growth potential. Walmart will report earnings on Tuesday before the market opens. Target on Wednesday.

Walmart`s EPS forecast for the quarter is $1,21. The reported EPS for the same quarter last year was $1,18. The consensus EPS forecast for Target`s quarter is $2,11 vs $0,59 for the same quarter last year.

The numbers for Target looks better than the giant Walmart, but the number as a whole will also give us more information about the consumer spending during the Covid-19 pandemic recovery.

Photo by Oleg Magni on Pexels.com

Walmart has been one of the big winners thanks to the pandemic, and reported record fourth-quarter and fullyear sales in February. However, the momentum slowed down in the first three months of the year. So, two more rounds of direct checks to most Americans didn`t help this time.

Analysts expect to see Walmart`s revenue dip 2% but earnings to rise by 4%. The company has been shelling out additional capital to raise wages for workers and build out its relationships with shoppers.

Walmart will spend nearly $14 billion in the current fiscal year to build out supply chain capacity and automation to keep pace with demand. Investors will look at Walmart`s newer initiatives in this week`s earnings report.

Target is smaller but grow faster. The company is expected a growth of 10,1% from the prior-year reported figure. It`s also estimated a big jump for Target`s earnings on Wednesday. EPS has risen to $2,11 which is a sharp improvement from 59 cents from a year ago.

Target is also one of the biggest winners during the pandemic, and its one-stop shopping destinations has been a big success. Same-day delivery of in-store purchases and fast track technology improvements has also been a great success for Target.

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Disclaimer: The views expressed in this article are those of the author and may not reflect those of Shinybull.com. The author has made every effort to ensure the accuracy of the information provided; however, neither Shinybull.com nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in precious metal products, commodities, securities, or other financial instruments. Shinybull.com and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

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by | March 2, 2020 · 8:15 pm

Target Inc has been one of the better performers in the retail sector and jumped nearly 6% on Monday

Last trading week was crazy, but the start of this week was even more crazy. Everybody said don`t buy the dip, and now you can clearly see that everybody is doing the opposite. They are buying the dip. But take a look at one of the top stocks I am looking at in times like this.

Target Inc jumped nearly 6% on Monday, while WalMart jumped nearly 8%. Target Inc warned investors that its holiday season was weaker than the company was expecting. Wall Street expects Target Inc to earn $1,66 per share on revenue of $23,47 billion. Last year earnings came to $1,53 per share on revenue of $22, 98 billion.

The consumer is strong and remain the driving force of the U.S economy. Just as important, big-box retail is not dead, as evidence by the strong earnings results and forecasts just delivered from Walmart.

Can Target Inc keep up the pace? Target Inc has been one of the better performers in the retail sector, with its shares up 42% over the past year, thanks to the company`s e-commerce initiatives. But with concers about the coronavirus, Target Inc will need strong top-and bottom-line results, solid growth and upside guidance to keep Wall Street excited about its direction.

Watch out for Target Inc before the open on Tuesday March 3.

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Shiny bull. The author has made every effort to ensure accuracy of information provided; however, neither Shiny bull nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in precious metal products, commodities, securities or other financial instruments. Shiny bull and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

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by | December 2, 2019 · 7:51 pm

Cyber Monday sales hit $7,9 billion last year, but today it is estimated to hit $9,4 billion

People love days like this; Thanksgiving, Black Friday and Cyber Monday. So far, Black Friday has been very chaotic, but this time it was much better. This is very important days for all the retailers, So, how is it going for them this time?

It`s no doubt; Trump`s booming economy is working. Thanksgiving broke records with $4,2 billion in online sales. Black Friday also hit a new high. Consumers spent $7,4 billion online last friday buying goods online via computers, tablets and smartphones.

Smart people buy products on days like this, and if you are one those who didn`t use your card last week, you have a few hours to do it today. On Cyber Monday. And if you do, you will not be alone to do it.

Last year, Cyber Monday sales hit $7,9 billion, but today it is estimated to hit $9,4 billion, according to Adobe Analytics. If this holds, it will be a jump of 18,9% from last year.

Shoppers do not go to the stores on days like this. It`s all about online sales. Not only that. Extreme weather will also force some people to shop online, and shoppers are expected to spend $11 million per minute during the peak hour of 11:00 p.m ET.

The reason why the lines were thiny on Black Friday is the retailers early sales start. Retailers began sales in early November, so people didn`t wait until Black Friday or Cyber Monday this time. This also means less chaos.

In fact, Black Friday was predicted to be the busiest shopping day of the year in the U.S for shoppers to head out to stores, but people made it online on their shopping carts. Online spending on Black Friday hit a record of $5,4 billion, and that is up 22,3% from last year.

The winners in this game so far is Target, Best Buy and Walmart, while the department stores are still a little bit slower. Both, Target and Walmart saw bigger jumps in online customer spending than Amazon during the first two weeks of November.

Nordstrom had the biggest jump in online sales. Up 60%. Second is Walmart with a 53% jump, while Amazon on the third place jumped 49%, and that`s huge for an already Giant in online sales if you ask me.

Buy online and pick up in stores as well as curbside pickup services since November 1 have seen a 43,2% growth since 2018, according to Adobe. Shoppers have so far spent a record $72,1 billion online between November 1 and December 1. Shoppers are also on track to hit $143,7 billion in online sales for the full holiday season.

One of the most popular products on days like this is a Smartphone. So, it`s headed for a new online spending record next year. Or…..

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Shiny bull. The author has made every effort to ensure accuracy of information provided; however, neither Shiny bull nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in precious metal products, commodities, securities or other financial instruments. Shiny bull and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

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by | August 20, 2019 · 7:15 pm

Target Corporation are modernizing the overall design of stores

I`m watching the retailer market closely and Target is one of them along with Walmart. Target Corporation is the eitht-largest retailer in the U.S, and they operates 1,851 stores throughout the U.S.

Their retail formats include the discount store Target, the hypermarket Super Target, and «small-format» stores previously named City Target and TargetExpress before being under the Taget branding.

Target is often recognized for its emphasis on «the needs of its younger, image-conscious shoppers», whereas its rival Walmart more heavily relies on its strategy of «always low prices». The company is expected to report earnings on Wednesday 21, before market open.

The report will be for the fiscal Quarter ending July this year, and the consensus EPS forecast for the quarter is $1,62. The same quarter last year was $1,47. The consensus revenue estimate is $18,32 Billion and that`s up +4,4 percent YoY.

Target has a strong first quarter performance and digital sales will continue to help the top line. We saw Walmart had a very impressive second quarter numbers. Can Target match Walmart in the retail business? If they can follow its 1Q19 results that was robust, we will see growth in digital sales.

They do it well with their «same-day pickup», curbside service and Shipt. Retailers like Target and Walmart also have another story to tell when it comes to foot traffic than many of the trendy fitness retailers.

Target spend a lot of money to improve its stores. Will this continue? Probably, because they has remodeled «only» 400 stores so far in the last two years. They are planning to remodel an additional 600 stores over the next two years.

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Shiny bull. The author has made every effort to ensure accuracy of information provided; however, neither Shiny bull nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in precious metal products, commodities, securities or other financial instruments. Shiny bull and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

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by | August 14, 2019 · 8:34 pm

Walmart`s online business is growing but it has come at a cost to profitability

Walmart is the world`s third largest employer by numer of employees. 2,2 million worldwide last year with 1,5 million in the U.S and 700,000 international. Walmart Inc is an American mutinational retail corporation that operates a chain of hypermarkets, discount department stores and grocery stores.

The company is expedted to report earnings on Thursday 15 before market open. The report wil be for the fiscal Quarter ending July 2019. The consensus EPS forecast for the quarter is $1,22, and the report for the same quarter last year was $1,29.

As of April 30, 2019, Walmart has 11,368 stores and clubs in 27 countries, operating under 55 different names. The company is the world`s largest company by revenue, with US$514,405 billion. It is a publicly traded family-owned business, as the company is controlled by the Walton family.

So far in 2019, Walmart is the largest U.S grocery retailer, and 65 percent of Walmart`s US$510,329 billion sales came from U.S operations. Their investments outside America have seen mixed results. Its operations and subsidiaries in the U.K, Central and South America, and China are highly successful, whereas its venture failed in Germany and South Korea.

Their approach to Amazon`s busines model and international expansion will continue to lift the company further. The street is looking for a top-line growth of 1,7 percent but there is concerns over the impact of trade war.

Many investors will watch out for the margins on the report as the cost of some of the goods are changing. JPMorgan has estimated in a report that the company could see up to 40 percent reduction in operating profit because of the tariffs on Chinese imports. But that will have an impact on the next quarter.

The online sales is a success and its going straight up. The e-commerce activity are up 37 percent YoY. They compete with Amazon and they are both speeding up their delivery times. In my recent article the headline was retail acopalypse, but what about Walmart?

They have also closed a lot of stores but Walmart has the best developed web grocery business with 2,450 stores offering curbside order pickup.

Walmart`s online growth has come at a cost to profitability, though. Gross margins of 24,3 percent were in line with analysts estimates but did mark a slight YoY contraction. That can be attributed to higher labor costs, plus online sales that typically deliver lower margins that in-store sales.

The company also said in a report that transportation expenses have eased somewhat this year. CFO Brett Biggs recently said; “Our first quarter results put us in a good position to achieve full-year goals.”

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Shiny bull. The author has made every effort to ensure accuracy of information provided; however, neither Shiny bull nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in precious metal products, commodities, securities or other financial instruments. Shiny bull and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

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