Nov. 13, 2014, 11:38 AM
Nov. 13, 2014, 8:05 AM
- Wal-Mart (NYSE:WMT) doesn't take Q&A during a live earnings call, but did give some insight into Q3 and its outlook for Q4 and beyond in a pre-recorded call.
- The smaller store format of the Bentonville giant showed promise again in Q3 with comparable-store sales up 5.5% at Neighborhood Market outlets.
- Management says the 3.5% increase in operating expenses was largely due to health care cost inflation and wage increases. YTD FCPA expenses are at $137M vs. $69M a year ago.
- E-commerce continues to be a highlight for Wal-Mart, adding a full 20 bps to the overall comp.The company says it remains in a strategic stance over the booming channel.
- The tone on the holiday season in the U.S. is decidedly cautious. Despite lower gas costs, a trade-down from premium grocery items and the erosion of the home entertainment industry are two drags on sales.
- "We expect this holiday season to be highly competitive," says U.S. chief Greg Foran.
- Earnings call transcript (.pdf)
- WMT +2.3% premarket.
Nov. 13, 2014, 7:16 AM
- Wal-Mart (NYSE:WMT) reports comparable-store sales rose 0.5% in Q3.
- International sales + 1.7% to $33.7B.d
- Revenue at Sam's Club was up 2.3% to $14.39B.
- E-commerce sales +21% Y/Y during the quarter.
- Segment operating income growth: Wal-Mart U.S. -1.2%, Wal-Mart International +3.7%, Sam's Club +12.0%.
- Guidance: The company now sees FY14 EPS of $4.92-$5.02 vs. $4.98 consensus.
Nov. 13, 2014, 7:03 AM
Nov. 12, 2014, 5:30 PM
Nov. 12, 2014, 9:30 AM
- A leaked memo from Wal-Mart (NYSE:WMT) seems to indicate a heightened sense of urgency from the C-suite over its grocery business.
- Store managers are advised to address food stocking issues and focus on strategies to increase grocery sales.
- Recent backlash from Wal-Mart employees and managers has included the criticism that stores are understaffed to the point that removing aging produce and stocking shelves has been tricky.
Nov. 12, 2014, 5:12 AM
- "It used to be called Black Friday, then it became Thursday, now it’s a week long," says Wal-Mart (NYSE:WMT) U.S. chief merchant Duncan Mac Naughton. "Maybe we should just call it November."
- Wal-Mart is abandoning its one-day-only "Black Friday" sales model and will now offer its best deals over a five-day period beginning in the last week of November into early December.
- The changes are due to a decrease in the "middle of the night" shoppers over the past few years and trends pointing to customers wanting to shop on their own schedules.
- Wal-Mart will report Q3 results on Thursday.
Nov. 8, 2014, 9:25 AM
- Energy companies finally are starting to halt a few new U.S. drilling projects as oil prices fall, which Barclays believes may put the U.S. oil boom at risk but "on balance, we believe lower oil prices are good.”
- If strong U.S. energy growth is interrupted, spending in the sector could be cut by $40B, but consumers could save $70B next year as the price at the pump falls for gasoline and diesel, according to Barclays head of U.S. equity strategy Jonathan Glionna.
- The most likely beneficiaries would be discretionary areas such as restaurants, entertainment, apparel, electronics and furniture, he says.
- Glionna lists 27 stocks that could benefit from lower oil prices: AAL, AGCO, AXL, BERY, BLMN, BWLD, CHH, CLX, DE, DPZ, FDX, GM, HD, KMB, KR, KSS, MHK, MMM, PENN, PPG, SAVE, SHW, TGT, UPS, VAL, WMS, WMT.
Oct. 31, 2014, 1:21 PM
- The odds aren't good for a national roll-out of smartphone payments solution CurrentC, according to USA Today's Jeff Graham.
- The retail consortium admitted to a hacking incident earlier this week and has lost momentum with Apple Pay dominating headlines.
- Inside the network, Meijer broke ranks with fellow MCX members by moving to accept Apple Pay with its hardware.
- CurrentC was created to help the retail industry bypass credit card fees.
- Partial list of MCX members: LUV, GPS, DNKN, KR, TGT, WMT, BBBY, KSS, SHLD, WEN, BBY.
Oct. 31, 2014, 7:04 AM
Oct. 31, 2014, 2:05 AM
- As the holiday shopping season heats up, Wal-Mart (NYSE:WMT) is weighing the benefits of a program which would match prices from online rivals.
- The move would expand upon Wal-Mart's current price-matching program for local bricks-and-mortar rivals, giving the retailer a competitive edge but risking a cut to earnings.
- The company is also planning to hire 60K additional workers for the holidays, up 10% from last year.
Oct. 30, 2014, 12:37 PM| 2 Comments
Oct. 30, 2014, 11:00 AM
- Wal-Mart (WMT) is considering expanding its price-matching program to online items as it struggles to keep alive the retailer's image as having a pricing edge, according to the WSJ.
- Though rivals Best Buy and Target already offer online price-matching programs, the Bentonville giant has been hesitant to let the genie out of the bottle on the initiative.
- The company saw traffic drop 1.1% in Q2 for U.S. stores.
Oct. 28, 2014, 11:32 AM
- Redbook notes the timing of Halloween on a Friday is giving a boost to merchandise sales related to the holiday as more consumers prep for parties and celebrations.
- Both Redbook and ICSC's weekly read on retail store sales showed year-over-year improvement with Halloween sales a factor.
- Stores have also been extending their hours to draw in more shoppers.
- Looking for a Halloween boost: DLTR, DG, FDO, KR, SVU, SWY, WMT, TGT, HSY, KRFT, CVS, RAD, WAG, MDLZ.
Oct. 27, 2014, 4:59 AM
- Rite Aid (NYSE:RAD) and CVS (NYSE:CVS) have disabled Apple's (NASDAQ:AAPL) mobile wallet system, Apple Pay, from working in their outlets across the U.S.
- The reason wasn't immediately clear, the NYT reports, although it might have something to do with the drug retailers being part of MCX, a consortium of merchants that is developing an unfinished rival product called CurrentC.
- A major question is whether other MCX retailers, which include Best Buy (NYSE:BBY), Gap (NYSE:GPS) and Walmart (NYSE:WMT), will also cut Apple, and/or whether consumers would revolt at such a move.
- Apple has been working with MasterCard (NYSE:MA) on its system.
Oct. 25, 2014, 12:34 PM
- Labor issues and a shortage of trucking equipment at the critical port complex in the Long Beach, California region threaten to disrupt shipments of holiday products to retailers.
- Delays are running up to two or three weeks, according to port officials.
- What to watch: Retailers potentially impacted by the port turmoil include Wal-Mart (NYSE:WMT), Macy's (NYSE:M), Kohl's (NYSE:KSS), J.C. Penney (NYSE:JCP), Ralph Lauren (NYSE:RL), American Eagle Outfitter (NYSE:AEO), Nordstrom (NYSE:JWN), and Carter's (NYSE:CRI).
WMT vs. ETF Alternatives
Wal-Mart Stores Inc operates retail stores in various formats under various banners. Its operations comprise of three reportable business segments, Walmart U.S., Walmart International and Sam's Club in three categories retail, wholesale and others.
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