Walmart Inc. WMT Shares are trading higher in the morning session on Wednesday.
Retail and consumer discretionary stocks are trading higher after Target company TGT reported strong second-quarter results and raised its earnings forecast.
Adjusted quarterly earnings per share were $2.57 (+40%), beating the Street view of $2.20. Target reported revenue of $25.45 billion (+2.7%), beating the analyst consensus of $25.229 billion.
“Our growth was driven entirely by customer traffic in stores and through our digital channels, with double-digit growth in our same-day delivery services,” said Brian Cornell, chairman and CEO of Target.
Target raised its fiscal 2024 adjusted EPS outlook to a range of $9.00 to $9.70, up from the previous range of $8.60 to $9.60. This new outlook compares to an estimate of $9.36.
According to an SEC filing, Walmart recently announced plans to increase its stake in JD.com, Inc. JDa major competitor of Alibaba.
As Walmart shifts its focus to its own operations in China, the company aims to raise up to $3.74 billion from the sale.
Also read: Alibaba rival JD.Com plunges over 7% in premarket trading after largest shareholder Walmart sells shares, reportedly raising $3.74 billion
The retail giant is offering 144.5 million American Depositary Shares at a price between $24.85 and $25.85. Morgan Stanley is acting as broker-dealer.
The company recently announced strong results for the second quarter of 2025 and increased its full-year guidance.
The retailer reported adjusted earnings per share of $0.67 (+9.8% y/y), beating the $0.64 forecast. Its revenue was $169.34 billion, beating the $168.57 billion forecast.
Walmart expects third-quarter adjusted earnings per share of $0.51 to $0.52 (consensus $0.55) and consolidated net sales growth of 3.25 to 4.25 percent.
Price promotion: WMT shares were trading 0.80% higher at $75.14 at last check on Wednesday.
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