New England Professional Planning Group Inc. has reduced its stake in Walmart Inc. (NYSE: WMT) by 15.8% during the first quarter of 2023, as outlined in its recent filing with the Securities and Exchange Commission (SEC). The institutional investor now holds 2,912 shares after selling 547 shares during the period, with these holdings valued at approximately $256,000.
This adjustment follows a trend among several institutional investors as they reassess their positions in Walmart. For instance, Xponance Inc. increased its holdings in Walmart by 2.4%, acquiring an additional 16,767 shares to reach a total of 706,762 shares, worth $62.05 million. Similarly, Fidelis Capital Partners LLC raised its stake by 27.7%, now owning 41,199 shares valued at $3.92 million, following the purchase of 8,936 shares.
Genus Capital Management Inc. reported a substantial increase of 168.2% in its Walmart holdings, now totaling 39,562 shares worth $3.47 million after buying 97,539 shares. Cerity Partners LLC also made a significant move, boosting its stake by 69.2% to own 2,990,710 shares, valued at $262.45 million. Phillips Financial Management LLC increased its holdings by 3.0%, now holding 7,360 shares worth $646,000. Collectively, institutional investors and hedge funds own 26.76% of Walmart’s stock.
Insider Transactions and Stock Performance
In related news, Walmart executives have engaged in stock transactions that reflect their ongoing confidence in the company. On June 20, 2023, Executive Vice President Kathryn J. Mclay sold 4,000 shares at an average price of $95.24, totaling $380,960. This transaction reduced her stake by 0.38%, leaving her with approximately 1,060,455 shares valued at around $100.99 million.
Another insider, Executive Vice President John R. Furner, sold 13,125 shares on the same day for $1.26 million, bringing his total to 945,434 shares valued at $90.62 million. Over the past three months, insiders have sold a combined total of 142,711 shares, amounting to $13.71 million. Notably, insiders control 45.58% of the company’s shares.
Walmart’s stock has demonstrated resilience in the market. The retailer recently announced its quarterly earnings on May 15, 2023. Walmart reported earnings per share (EPS) of $0.61, surpassing analysts’ expectations of $0.58. The company’s revenue reached $165.61 billion, exceeding estimates of $164.53 billion. Walmart’s net margin stands at 2.75%, with a return on equity of 21.76%. Year-over-year, revenue increased by 2.5%, compared to the same quarter last year when the business reported an EPS of $0.60.
Dividend Declaration and Analyst Ratings
Recently, Walmart declared a dividend of $0.235 per share, paid on May 27, 2023, to shareholders who were on record as of May 12, 2023. This dividend represents a yield of 0.95%, with a payout ratio of 40.17%.
Analysts are optimistic about Walmart’s future performance. Robert W. Baird raised its target price for Walmart shares from $100.00 to $110.00 and rated the stock as “outperform.” Telsey Advisory Group maintained an “outperform” rating with a price target of $115.00. Conversely, Raymond James Financial adjusted its target from $115.00 to $105.00 while keeping an “outperform” rating. Mizuho also increased its target from $105.00 to $115.00. Currently, analysts hold a consensus rating of “Moderate Buy” with an average target price of $106.67 for Walmart.
Walmart Inc. continues to engage in various retail and eCommerce operations worldwide, categorized into three main segments: Walmart U.S., Walmart International, and Sam’s Club. The company operates under multiple brands, including supercenters, supermarkets, and membership-only warehouse clubs, among others. As it navigates changing market dynamics and investor sentiments, Walmart remains a significant player in the retail landscape.
