- Based on the rash of analyst downgrades, those who follow Wal-Mart (NYSE:WMT) seem to expect the wheels to fall off when the big-box retailer reports Q2 earnings tomorrow morning.
- Most closely watched will be WMT's comparable U.S. sales revenue, which has declined Y/Y for five straight quarters; management guidance has called for those sales to be relatively flat, so even tepid growth could boost sentiment.
- For the 13 quarters since FY 2012, WMT shares have fallen nine times in the following trading session, including the occasions when the result exceeded profit projections; this time, the consensus sees WMT earning $1.21/share, down from $1.24 a year before.
- At just 14x forward earnings forecasts, even a peep of positive news could bring in bargain hunters, WSJ's Spencer Jakab suspects.
at CNBC.com (Nov 18, 2014)