Walmart Inc. (WMT)

FairStock Score: 38/100 — MIXED

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look at Walmart as a great ordinary business: enormous scale, everyday demand, and a low-cost model that is hard to displace. The filed numbers show fiscal 2026 (period ended 2026-01-31) revenue of $706.4B, net income of $21.9B, and diluted EPS of $2.73, up from fiscal 2025 (period ended 2025-01-31) revenue of $674.5B, net income of $19.4B, and EPS of $2.41. But the latest filed quarter, fiscal Q2 2027 (quarter ended 2026-07-31), had revenue of $186.1B, net income of $6.4B, and diluted EPS of $0.80, versus fiscal Q2 2026 (quarter ended 2025-07-31) revenue of $175.8B, net income of $7.0B, and EPS of $0.88—so sales grew while profit slipped. FairStock calculates ROE of 22.31%, ROCE of 6.41%, debt-to-equity of 0.72, and trailing FCF of $13.5B; at the $118.81 close on 2026-10-16, its FCF yield is 1.4%. FairStock's Piotroski score is 8/9 and Altman Z is 4.10. Those are healthy marks, though returns on capital are not spectacular for a premium-priced stock. At the same close, FairStock's P/E is 43.05, P/B is 10.03, EV/EBITDA is 21.33, and the Graham Number is $27.72, leaving a -325.22% margin of safety. The Lynch category, computed by FairStock's rules, is STALWART, with 10.1% annual profit growth and 4.9% revenue growth over five years. I admire the franchise, but the price already assumes a lot.

In plain English: Walmart runs discount stores, supercenters, warehouse clubs, and online stores around the world. The business is huge and financially sturdy, but its most recent reported quarter showed sales rising while profit fell, and the shares look expensive compared with the company's profits and cash generation.

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Data as of 2026-10-16 close · note generated 2026-10-20 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2027 10-Q (period ended 2026-07-31) · fiscal Q1 2027 10-Q (period ended 2026-04-30) · fiscal Q3 2026 10-Q (period ended 2025-10-31) · fiscal Q2 2026 10-Q (period ended 2025-07-31) · FY2026 10-K (period ended 2026-01-31) · FY2025 10-K (period ended 2025-01-31) · FY2024 10-K (period ended 2024-01-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer