Walmart Inc.
WMTBusiness Overview
ticker: WMT step: 01 generated: 2026-05-11 source: quick-research
Walmart Inc. (WMT) — Business Overview
Business Description
Walmart is the world's largest retailer by revenue ($680B+ in FY2025, $713B+ TTM ending Jan 2026), operating supercenters, discount stores, neighborhood markets, and Sam's Club warehouses globally. Walmart has transformed from a pure brick-and-mortar discounter into a diversified retail and technology platform: e-commerce now ~20% of US sales, the Walmart Connect advertising business is growing 40%+, and the $2.3B Vizio acquisition (2024) brings smart TV ad inventory into the network.
Revenue Model
- Walmart U.S. (~67% of revenue): Supercenters, discount stores, Neighborhood Markets, walmart.com, omnichannel + advertising
- Walmart International (~17%): Operations in 19 countries — Mexico (Walmex), Canada, China, India (Flipkart), Central America
- Sam's Club (~16%): US warehouse membership clubs + samsclub.com
- Walmart Connect advertising (within US): Growing 40%+ annually, now ~$5-6B+ run-rate
- Walmart+ membership: ~$100M+ members at $98/year
Products & Services
- Walmart U.S.: Grocery (60%+ of US sales), general merchandise, apparel, electronics, pharmacy, optical, financial services
- Walmart International: Mix varies by country — Mexico/India primarily grocery + general merchandise, China primarily Sam's Club, India e-commerce via Flipkart
- Sam's Club: Bulk groceries, electronics, business products, gas, optical, tire/auto, hearing
- E-commerce platforms: walmart.com, samsclub.com, Flipkart (India)
- Advertising: Walmart Connect (in-store + online + Vizio TV)
- Walmart+: Free delivery, fuel discounts, scan & go at Sam's, Paramount+ included
- Healthcare: Walmart Health Centers (most closed in 2024 retreat), pharmacy in stores
- Financial services: Money services, MoneyCard, ONE app (Walmart fintech)
Customer Base & Go-to-Market
- Consumers: 250M+ weekly customers globally; 90% of US population lives within 10 miles of a Walmart
- Sam's Club members: ~55M+ globally
- Walmart+ members: ~$100M+ (estimated)
- Sellers / Brands: ~700K third-party sellers on Marketplace; Walmart Connect for advertising
- Income tiers: Increasingly attracting higher-income households (those earning $100K+) as e-commerce and grocery quality improve
Competitive Position
Walmart is the U.S. retail incumbent with structural scale advantages: (1) ~4,600 US stores within 10 miles of 90% of population — fastest fulfillment infrastructure ever built, (2) $680B revenue scale gives unmatched supplier negotiating leverage, (3) grocery scale enables daily customer visits that subsidize general merchandise, (4) increasingly direct-to-consumer logistics with 95% under-24-hour delivery coverage target. Faces ongoing structural competition from Amazon (e-commerce + Prime + AWS subsidization), Costco (high-income wholesale), Aldi/Lidl (private label), and dollar stores (low-income). Walmart Connect advertising is a high-margin growth engine that doesn't exist in pure-play retailers.
Key Facts
- Founded: 1962 (by Sam Walton, Bentonville AR)
- Headquarters: Bentonville, AR
- Employees: ~2.1M (world's largest non-government employer)
- Exchange: NYSE
- Sector / Industry: Consumer Staples / Hypermarkets & Super Centers
- Market Cap: ~$745B (May 2026)
- CEO: Doug McMillon
- US Stores: ~4,600 supercenters/discount/neighborhood markets + 600 Sam's Club
- International stores: ~5,300+ (Mexico, India, China, Canada, Central America)
- Walton family ownership: ~46% via Walton Enterprises
- FY end: late January
Financial Snapshot
ticker: WMT step: 04 generated: 2026-05-11 source: quick-research
Walmart Inc. (WMT) — Financial Snapshot
Note: Walmart's fiscal year ends late January. "FY2026" = fiscal year ended Jan 31, 2026.
Income Statement Summary
| Metric | FY2024 | FY2025 | FY2026 | YoY |
|---|---|---|---|---|
| Revenue | $648.1B | $681.0B | $713.2B | +4.7% |
| Constant Currency Revenue Growth | +6.0% | +5.6% | +5.1% | |
| Gross Margin | 24.4% | 24.9% | 25.1% | +0.2pp |
| Operating Income | $27.0B | $29.3B | $30.5B | +4.1% |
| Operating Margin | 4.2% | 4.3% | 4.3% | flat |
| Net Income | $15.5B | $19.4B | $20.5B | +5.7% |
| EPS (diluted) | $1.91 | $2.41 | $2.55 | +6% |
Segment Performance (FY2026)
| Segment | Revenue | Growth | E-commerce |
|---|---|---|---|
| Walmart U.S. | ~$478B | +5% | $99.6B (+25%) |
| Walmart International | ~$121B | +6% (cc) | $35.8B |
| Sam's Club U.S. | ~$98B | +5% | $15.0B |
| Total E-commerce | ~$150B+ | +24% globally | ~21% of revenue |
Walmart Connect Advertising (FY2026)
- US Walmart Connect: +41% YoY
- Global advertising: +53% (including Vizio)
- Estimated run-rate: $6-8B annual revenue
- Margin: significantly higher than retail blended (~40%+ contribution margin)
Q1 FY2026 Highlights
| Metric | Q1 FY26 | YoY |
|---|---|---|
| Revenue | $165.6B | +4% |
| Operating Income | $7.14B | +4% |
| Global E-commerce | +22% | |
| Walmart U.S. comp sales | +4-5% |
Cash Flow & Balance Sheet (FY2026)
| Metric | Value |
|---|---|
| Operating Cash Flow | ~$36B |
| Capital Expenditures | ~($23B) (store remodels + automation + logistics) |
| Free Cash Flow | ~$13-15B |
| Cash & Equivalents | ~$9B |
| Total Debt | ~$59B |
| Net Debt / EBITDA | ~1.0x |
Key Ratios (approximate, May 2026)
- P/E (forward): ~36x | EV/EBITDA: ~17x | Dividend Yield: ~0.95%
- ROIC: ~15% (best-in-class for traditional retailer)
- E-commerce as % of US sales: ~20.8% (up from 15% three years ago)
Growth Profile
WMT has reaccelerated impressively: FY2026 revenue +5.1% constant currency with e-commerce +24% globally. Walmart Connect advertising +41% US / +53% global is the "hidden margin engine" that explains why operating margin held even as labor costs rose. Higher-income households now shop Walmart more — a key share gain story. Q4 FY26 e-commerce +27% in US.
Forward Estimates
- FY2027E Revenue: ~$745B (+4-5%)
- FY2027E EPS: ~$2.75 (+8%)
- FY2028E EPS: ~$3.05 (+11%)
- FY2027 Operating Margin target: 4.5%+
- Walmart Connect revenue: could reach $15B+ by FY2028 at current growth rates
Capital Return
- Regular dividend $2.36/share annual ($19B+ paid)
- 51+ consecutive years of dividend growth (Dividend King)
- Buybacks: ~$8B/year run rate
- 3-for-1 stock split executed February 2024
Deeper Financial Analysis
The fundamental tier adds 9 additional research dimensions for $WMT.