Will Walmart beat analyst estimates?

The company is expected to report Q2 earnings next week.

Uptrend 2

On Tuesday August 18th Walmart (WMT), the retail giant, is expected to post second quarter EPS of $1.25 compared to $1.27 a year ago on revenue of $135 billion vs $130.4 billion last year. The expected move based on front-month options is 5.3%, the last time the Co reported earnings the stock declined 2.1%. The stock has 46 buys, 10 holds and 2 sells according to a Bloomberg consensus.

Looking at the price action, Walmart has maintained an uptrend

since 2015 lows. The 100-week moving average has been acting as support. If price action can remain above the 100-week moving average, we should see a continuation of the trend towards Fibonacci extension targets of $147 and $165. The 50% retracement level rests at $107 just below the 100-week MA which can also be used as a bearish signal and a warning of the bullish trend coming to an end. 



Source: GAIN Capital, TradingView

Happy Trading

More from Equities

Disclaimer: GAIN Capital UK Limited (trading as "Forex.com") is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, Forex.com does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.

No opinion given in this material constitutes a recommendation by Forex.com or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although Forex.com is not specifically prevented from dealing before providing this material, Forex.com does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

For further details see our full non-independent research disclaimer and quarterly summary.