Walmart Inc shares rose nearly 5% in Tuesday premarket trading after the retail giant reported fiscal fourth-quarter earnings and revenue that beat expectations.
The company brushed off the industry’s disappointing December sales with its best holiday quarter in at least a decade, soothing concerns about the sector’s outlook for 2019.
Net income for the quarter totaled $3.69 billion, or $1.27 per share, up from $2.18 billion, or 73 cents per share, for the same period last year.
Adjusted EPS of $1.41 beat the FactSet consensus of $1.33. Revenue totaled $138.80 billion,up from $136.27 billion last year and ahead of the $138.76 billion FactSet consensus.
E-commerce sales rose 43%, with the company saying that additional grocery pickup and delivery, as well as an expanded online selection aiding growth.
As mentioned in yesterday’s article, Walmart was expected to beat expectations and this has in fact helped to bring positive momentum back in the company for the months to come.
The trend line which was transformed to a resistance back in December, has been transformed back to a support line. Following such good results with prompted such change in the chart, together with expected positive news from the China/US trade talks later this week, further boost in prices is expected.