Ahead Of The Bell: Wal-Mart Shareholders' Meeting

Still, after enjoying a 20 percent surge in its stock price in 2008, Wal-Mart has seen its shares fall 10 percent so far this year as Wall Street turns to retailers that sell more discretionary goods and could benefit when the economy improves. That has driven up share prices for such merchants as Macy's Inc. and Minneapolis-based Target Corp., both of which suffered steep share declines in 2008.

Wal-Mart's earnings and sales performance continues to be a standout compared with the rest of the retail industry.

Including Wal-Mart, the same-store sales index from the International Council of Shopping Centers-Goldman Sachs has averaged a 0.5 percent decline so far this year compared with last. Without Wal-Mart, the industry index would have fallen 4 percent. Sales at stores open at least a year are considered a key indicator of a retailer's health.

Similarly, first-quarter profits fell 12 percent this year compared with last year industrywide. Excluding Wal-Mart's positive results, industry profits would have dropped 17 percent, though the gap between Wal-Mart and the rest of the industry has narrowed as merchants increase cost-cutting, Ken Perkins, president of RetailMetrics said.

Wal-Mart last month reported first-quarter earnings that were unchanged from the same period a year earlier. Revenue fell 0.6 percent but would have risen 4.5 percent without the impact of the strong dollar. To navigate through this tough environment, Wal-Mart has been scaling back its capital expenditures while focusing on remodeling existing locations and creating smaller outposts. The goal is to continue to increase cash flow to invest in its business while delivering returns to shareholders through dividends and buybacks.