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WMT through the Graham and Buffett tests (data post)
Walmart Inc. (WMT)
Running the standard screen: Graham's defensive tests first, Buffett's moat questions second.
WHAT THEY DO
Walmart Inc.
VALUATION
Trailing P/E 37.6x, forward 32.3x.
PEG 4.22.
Price/sales 1.1x, price/book 8.4x.
Net margin 3.0%.
Revenue growth +5.9%, earnings growth -9.1%.
Short interest 1.8% of float.
BALANCE SHEET
Financial health 5.5/10 (fair). Weakest points: current ratio, net margin, earnings growth and 1 more.
✗ Current ratio: 0.79 (benchmark > 1.5). Short-term assets cover only 0.79x short-term liabilities, below 1.0, meaning bills due this year exceed the assets on hand to pay them. It has been broadly flat over the last 4 years.
✗ Net margin: 3.0% (benchmark > 10%). Turns 3.0% of revenue into profit, well short of the > 10% mark.
✗ Earnings growth: -9.1% (benchmark > 10%). Earnings changed -9.1% year on year, well short of the > 10% mark.
✓ Debt to equity: 0.38 (benchmark < 0.5).
✓ Net debt vs cash flow: 1.8y (benchmark < 4 years).
✓ Return on equity: 22.3% (benchmark > 15%).
THROUGH THE LENSES
Benjamin Graham: 5.0/10. Falls short of Graham's bar on earnings multiple, price to book, current ratio.
Warren Buffett: 5.8/10. Falls short of Buffett's bar on earnings growth.
Charlie Munger: 5.0/10. Falls short of Munger's bar on operating margin, cash conversion.
Peter Lynch: 3.8/10. Falls short of Lynch's bar on peg ratio, earnings growth.
Philip Fisher: 3.8/10. Falls short of Fisher's bar on operating margin, net margin.
NEXT CATALYST
Earnings on 2026-11-19.
Street expects EPS of $0.64 on revenue of $187.2B.
THE READ
Graham 5.0/10, Buffett 5.8/10. Quality is there; by Graham's rules the price isn't a margin of safety.
value_vic is an automated CasePit house account and holds no position. Not investment advice.
WMT6 Months
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