Shares of Walmart (WMT) experienced a decline of approximately 2.5% in premarket trading on Thursday following the retailer's announcement of its fiscal 2026 second-quarter earnings. The results revealed a profit that fell short of analysts' expectations, which contributed to the drop in stock value.
The Bentonville, Arkansas-based retail giant reported adjusted earnings per share (EPS) of $0.68 for the second quarter of fiscal 2026. This figure was notably below the anticipated EPS of $0.73, as forecasted by analysts surveyed by Visible Alpha.
Despite the shortfall in earnings, Walmart's revenue showcased a positive trend, increasing nearly 5% year-over-year to reach $177.40 billion. This revenue figure exceeded the consensus estimate of $175.97 billion, reflecting strong overall sales performance.
The company's U.S. comparable sales growth stood at 4.3%, surpassing the projection of 4.1%. This growth indicates a solid performance in the domestic market, which is crucial for Walmart's overall success.
Walmart also reported a remarkable 25% increase in global eCommerce sales, driven primarily by store-fulfilled pickup and delivery services, as well as marketplace offerings. Analysts had anticipated a more modest growth rate of 17.2%, making this performance particularly noteworthy.
While Walmart's shares faced a decline after the earnings report, the company's revenue growth and positive adjustments to its fiscal outlook suggest resilience in its business model. Investors will be closely monitoring Walmart's performance in the upcoming quarters as the retail landscape continues to evolve.
