Street View: Brokers see Walmart's growth story trumping consumer worries

Morgan Stanley ("overweight," PT: $125) said weak consumer sentiment, especially among lower-income households, could weigh on near-term sales, but the company's profit growth and e-commerce momentum remain intact, with a rebound expected in FY28.

Morningstar (fair value: $81) said Walmart's expanding digital ecosystem, stronger marketplace, and focus on low prices help it maintain customer traffic, market share, and profitability, even as U.S. comparable sales growth slows.

J.P. Morgan ("overweight," PT: $125) said the company's long-term growth story remains intact, with marketplace expansion and growth in alternative profit streams supporting the investment case.

TD Cowen ("buy," PT: $125) said ongoing price cuts to drive traffic, steady market share gains, and a growing portfolio of higher-margin businesses support the investment thesis despite weaker U.S. sales trends.

Retail giant Walmart on Thursday reported its weakest quarterly comparable sales growth in six years and cautioned that elevated gasoline prices were putting pressure on shoppers, raising concerns about growing strain on U.S. consumers.

Median price target of 44 brokerages covering the stock is $132, according to LSEG-compiled data.