Walmart Q4 Beat Spurs Price-Target Raises to $150 on E-Commerce Profitability

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Three analysts raised Walmart’s price targets to $134, $139 and $150 following a modest Q4 beat and margin expansion. Walmart’s Q4 U.S. comps rose 4.6% versus a 4.24% forecast, U.S. e-commerce surged 27% to 18% of revenues and achieved full profitability, while ad revenue jumped 46% to $6.4 billion.

1. Analyst Price-Target Revisions

On February 20, Bernstein raised its price target on Walmart to $134 from $129, Truist lifted its target to $139 from $127 and DA Davidson increased its target to $150 from $135, maintaining Outperform/Buy ratings after a modest Q4 beat and strengthening margins.

2. Comparable Sales and E-Commerce Profitability

Walmart reported U.S. same-store sales growth of 4.6% in Q4 versus a 4.24% consensus forecast, while U.S. e-commerce revenue surged 27%, representing roughly 18% of total revenues and reaching full profitability.

3. Advertising Revenue Expansion

The retailer’s advertising unit generated 46% more revenue in fiscal year 2025, rising to $6.4 billion and contributing higher-margin income to the overall business model.

4. Future Growth Drivers

Analysts highlighted Walmart’s accelerating e-commerce profitability, expanding alternative revenue streams and its ‘flywheel strategy’—including marketplace and third-party fulfillment—as catalysts for market share gains and margin expansion.

Sources

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