| Stock Ticker | Home Page | Asset Class | Sector | Industry | Investment Strategy | Dividend Frequency | Geographic Focus |
|---|---|---|---|---|---|---|---|
| WMT | Walmart Inc. | Stock / Equity | Consumer Defensive | Discount Stores | Value | Quarterly | Global |
Walmart, the world's largest retailer, offers a compelling proposition for dividend-seeking investors. Its annual yield, coupled with 51 consecutive years of dividend increases, paints a picture of consistent income generation and commitment to shareholder rewards. However, beyond its impressive dividend track record, Walmart presents further potential through its robust market share, diverse product offerings, and strategic digital initiatives.
| Detail | |
|---|---|
Overview: |
Walmart, the world's largest retailer, reigns supreme in the vast consumer landscape. Its primary offering lies in affordable groceries, general merchandise, and apparel across approximately 10,500 stores in 19 countries. With a dominant market share in the US, Walmart caters to a broad target audience seeking value and convenience. Its mission statement – "To serve our customers and communities by offering everyday low prices" – encapsulates its core values of customer focus, affordability, and community engagement. |
Business Model: |
Walmart thrives on its "everyday low prices" strategy, leveraging its immense buying power to secure favorable deals with suppliers. Revenue primarily streams from in-store and online sales, with groceries and consumables forming the largest segment. Partnerships with key suppliers and logistics providers strengthen its value chain, optimizing costs and efficiency. |
Industry Competition: |
Walmart faces a diverse competitive landscape. Traditional brick-and-mortar rivals like Target and Kroger jostle for market share, while online giants like Amazon pose challenges on the digital front. Industry trends towards e-commerce, private label goods, and omnichannel experiences influence the competitive dynamics. |
Competitive Advantage: |
|
Management Team: |
Walmart is led by CEO Doug McMillon, a seasoned retail executive with extensive experience in international markets and omnichannel strategy. CFO Brett Biggs steers the financial reins, while other key leaders boast expertise in areas like technology, supply chain, and e-commerce. The team's proven track record in navigating market shifts and implementing strategic initiatives inspires confidence. |
Financial Performance: |
Recent trends indicate steady revenue growth, consistent profitability, and commitment to dividend payments. |
Investment Thesis: |
|
Conclusion: |
Walmart's dominant market share, operational efficiency, and strategic digital initiatives solidify its position as a retail powerhouse. Investors seeking a combination of reliable income, defensive stability, and exposure to a growing consumer giant should consider WMT, with the caveat of its moderate yield and slower growth potential compared to higher-risk options. Ultimately, diversification and individual circumstances remain crucial for informed investment decisions. |
| Section | Details |
|---|---|
WMT Dividend Data |
Walmart Inc. (WMT) has an annual dividend of $0.83 per share. The dividend is paid every three months. The last ex-dividend date was on December 13, 2024. |
WMT Dividend Yield |
The forward yield of WMT is 1.25%. This means that for every $100 invested in the company's stock, investors would receive $1.25 in dividends per year. |
WMT Dividend History |
Walmart has been paying dividends for the last 31 years. The company has issued four quarterly dividends in the last twelve months. |
WMT Dividend Payout & Dividend Payout Ratio |
Walmart's dividend payout ratio is 43.32%. This means that Walmart pays out 43.32% of its earnings as dividends. |
WMT Dividend Stability & Growth |
Walmart's dividends per share have been stable in the past 10 years. The company's earnings per share have been growing very quickly, up 20% per annum for the past five years. This is a very favourable combination that can often lead to the dividend multiplying over the long term, if earnings grow and the company pays out a higher percentage of its earnings. |
| Walmart (WMT) | Costco Wholesale (COST) | Amazon.com (AMZN) | |
|---|---|---|---|
Industry Focus |
Retail - Supermarket Chains | Retail - Discount Stores | Retail - Internet |
Current Yield |
1.39% | 0.55% | N/A |
Price-to-Earnings Ratio (P/E) |
31.71 | 48.02 | 60.9 |
Investment Strategy |
Superior operating efficiency, offering the lowest priced goods to consumers to drive robust store traffic and product turnover | Membership-based business model, offering a limited selection of merchandise at low prices | E-commerce, cloud computing, digital streaming, and artificial intelligence |
Investing in Walmart Inc. (WMT) common stock for its dividend comes with its own set of risks and considerations. While the company's dividend data shows a history of consistent dividend increases, making it an attractive option for a retirement portfolio, it's important to consider the sustainability of these dividends. The dividend payout ratio, which represents the percentage of the company's earnings per share that is distributed as dividends, is a key metric to consider. A high payout ratio could indicate that the company is prioritizing returning income to shareholders over reinvesting in its operations, which could limit growth potential.
The next dividend payment date and the upcoming ex-dividend date are important dates for any investor to keep track of. However, these dates are subject to change and delays can occur. Furthermore, while WMT's dividend yield may be attractive, it's important to consider the impact of inflation on your investment. The company's revenue growth, driven by both its store operations and ecommerce, is another factor to consider. While Walmart has shown resilience and adaptability, the retail industry is highly competitive and subject to rapid change. Therefore, it's crucial to stay informed and regularly review the most recent dividend information and historical dividend data.