Analyzing Walmart's Business Beyond the Stock Split for Investment Opportunities

Thursday, 7 March 2024, 13:45

Explore Walmart's recent 3-for-1 stock split and its impact on the stock price. Discover insights into Walmart's successful sales growth, diversified revenue streams, and strategic acquisitions, including the recent deal with Vizio. Uncover the potential for long-term investment in Walmart amidst its expanding e-commerce and advertising businesses, solid dividend history, and international growth.
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Analyzing Walmart's Business Beyond the Stock Split for Investment Opportunities

Walmart's successful sales growth

Walmart's fourth-quarter revenue of $173.4 billion marked a 6% increase from the prior year, with full-year sales reaching $648.1 billion.

The company forecasts at least a 3% revenue growth in fiscal 2025, aligning with Wall Street's projected median share price of $65.

Walmart's diversified business

Walmart's e-commerce revenue rose 23% year over year, surpassing $100 billion. The company's advertising business saw a 33% growth in sales, hitting $3.4 billion for fiscal 2024.

Free cash flow increased to $15.1 billion, enabling Walmart to raise dividends for the 51st consecutive year.

Deciding whether to buy Walmart stock

Walmart is rapidly expanding its advertising business, including the acquisition of Vizio for $2.3 billion to enter the connected TV market. The company's international operation generated $114.6 billion in revenue.

Considering its strong fundamentals, Walmart presents itself as a compelling long-term investment opportunity.


This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.


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