Wal-Mart Stores Inc (WMT): Today's Featured Retail Laggard

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.

Wal-Mart Stores ( WMT) pushed the Retail industry lower today making it today's featured Retail laggard. The industry as a whole closed the day down 1.3%. By the end of trading, Wal-Mart Stores fell 86 cents (-1.2%) to $69.63 on average volume. Throughout the day, 10.2 million shares of Wal-Mart Stores exchanged hands as compared to its average daily volume of 8.7 million shares. The stock ranged in price between $69.13-$69.90 after having opened the day at $69.44 as compared to the previous trading day's close of $70.49. Other companies within the Retail industry that declined today were: QKL Stores ( QKLS), down 7.2%, Stein Mart ( SMRT), down 5.2%, Jones Group ( JNY), down 5%, and Guess ( GES), down 4.8%.
  • EXCLUSIVE OFFER: Jim Cramer's Protégé, Dave Peltier, only buys Stocks Under $10 that he thinks could potentially double. See what he's trading today with a 14-day FREE pass.

Wal-Mart Stores, Inc. operates retail stores in various formats worldwide. It operates retail stores, restaurants, discount stores, supermarkets, supercenters, hypermarkets, warehouse clubs, apparel stores, Sam's Clubs, and neighborhood markets, as well as walmart.com; and samsclub.com. Wal-Mart Stores has a market cap of $234 billion and is part of the services sector. The company has a P/E ratio of 14.4, below the S&P 500 P/E ratio of 17.7. Shares are up 3.3% year to date as of the close of trading on Friday. Currently there are 11 analysts that rate Wal-Mart Stores a buy, no analysts rate it a sell, and 10 rate it a hold.

TheStreet Ratings rates Wal-Mart Stores as a buy. The company's strengths can be seen in multiple areas, such as its increase in stock price during the past year, growth in earnings per share, revenue growth, good cash flow from operations and increase in net income. We feel these strengths outweigh the fact that the company shows low profit margins.

On the positive front, ValueVision Media ( VVTV), up 5.4%, Conn's ( CONN), up 2.9%, Tuesday Morning Corporation ( TUES), up 2.5%, and GameStop ( GME), up 2.3%, were all gainers within the retail industry with GNC Acquisition Holdings ( GNC) being today's featured retail industry leader.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the retail industry could consider SPDR S&P Retail ETF ( XRT) while those bearish on the retail industry could consider ProShares Ultra Sht Consumer Goods ( SZK).

It's Official: Action Alerts PLUS beats the S&P 500 with Dividends Reinvested! Cramer and Link were up 16.72% in 2012. Were you? See what they are trading for 14-days FREE.

null

More from Markets

Trump Takes Aim at Auto Imports; Markets End Mixed -- ICYMI

Trump Takes Aim at Auto Imports; Markets End Mixed -- ICYMI

Video: What Oprah's Content Partnership With Apple Means for the Rest of Tech

Video: What Oprah's Content Partnership With Apple Means for the Rest of Tech

REPLAY: Jim Cramer on the Markets, Oil, Starbucks, Tesla, Okta and Red Hat

REPLAY: Jim Cramer on the Markets, Oil, Starbucks, Tesla, Okta and Red Hat

Flashback Friday: The Market Movers

Flashback Friday: The Market Movers

OPEC Deal Doesn't Boost Production Enough to Drive Down Crude, Gasoline Prices

OPEC Deal Doesn't Boost Production Enough to Drive Down Crude, Gasoline Prices