"Walmart's investments in store experience, e-commerce and eventually price are helping drive sustainable market share gains, and we think earnings are poised to inflect positively," the firm wrote in an analyst note.
The Bentonville, AR-based retailer has reported positive comparable-store sales for eight consecutive quarters, which validates recent investments, according to KeyBanc.
The company's two-year $2.7 billion investment in store associates, including training, higher store wages and a new in-store incentive program, is driving a better store experience, the firm contended.
Additionally, the company's recent acquisition of e-commerce company Jet.com solidifies Walmart's position as a strong "number two in e-commerce," KeyBanc said.
"We think that the company can opportunistically use price investments as a lever to drive the targeted incremental $45 billion-$60 billion in sales over a three-year period," the firm added.
Additionally, Walmart stock was initiated with a "buy" rating and $82 price target at Guggenheim this morning.
The firm believes the retailer is successfully adapting to the quickly changing consumer environment and remains focused on improving its critical U.S. super center business, the Fly reports.
Shares of Walmart were advancing in pre-market trading today.
Separately, TheStreet Ratings Team has a "Buy" rating with a score of B on the stock.
The company's strengths can be seen in multiple areas, such as its solid stock price performance, increase in net income, revenue growth, good cash flow from operations and largely solid financial position with reasonable debt levels by most measures.
The team believes its strengths outweigh the fact that the company shows low profit margins.
Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
You can view the full analysis from the report here: WMT