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 0.7%. By the end of trading, Wal-Mart Stores fell $1.36 (-1.7%) to $78.50 on average volume. Throughout the day, 12,046,539 shares of Wal-Mart Stores exchanged hands as compared to its average daily volume of 8,146,700 shares. The stock ranged in price between $77.34-$78.86 after having opened the day at $78.10 as compared to the previous trading day's close of $79.86. Other companies within the Retail industry that declined today were: China Jo-Jo Drugstores ( CJJD), down 13.5%, ValueVision Media ( VVTV), down 4.7%, SUPERVALU ( SVU), down 4.7% and Susser Holdings Corporation ( SUSS), down 4.5%.
  • EXCLUSIVE OFFER: Jim Cramer's Protege, 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. The company operates in three segments: Walmart U.S., Walmart International, and Sam's Club. Wal-Mart Stores has a market cap of $259.2 billion and is part of the services sector. The company has a P/E ratio of 15.7, below the S&P 500 P/E ratio of 17.7. Shares are up 17.0% year to date as of the close of trading on Wednesday. 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 revenue growth, notable return on equity, solid stock price performance, growth in earnings per share and increase in net income. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated.

On the positive front, QKL Stores ( QKLS), down 9.4%, dELiA*s ( DLIA), down 8.7%, ALCO Stores ( ALCS), down 6.3% and Kohl's ( KSS), down 4.7% , were all gainers within the retail industry with Rite Aid Corporation ( RAD) 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).

Exclusive Offer: Jim Cramer's 'go-to' small/mid-cap guru Bryan Ashenberg only buys stocks he thinks could return 50-100%. See his top picks for 14-days FREE.
null

If you liked this article you might like

Walmart to Expand Food Stamp Acceptance Online

This Walmart Concept Just Saw the Most New Visitors in Over 3 Years

Fed, Toys 'R' Us, Equifax and Hurricane Maria - 5 Things You Must Know

Toys 'R' Us Files for Bankruptcy

National Cheeseburger Day Is Here - This Is Why Burger King's CEO Admires Amazon