Where Is Walmart Stock Headed Post Stock Split? (2024)

FAQs

Is Walmart stock a good buy after the split? ›

The company's share price has been in lockstep with its sales growth over the past several years as both headed steadily upward. Adding to this are estimates by Wall Street analysts that Walmart will reach a median share price of $65, indicating a belief in upside for the stock. Data by YCharts.

On the heels of a planned 3-for-1 stock split, Walmart is raising its dividend by 9.2%. The Bentonville, Ark., retail giant on Tuesday said it will pay a post-split quarterly dividend of 20.75 cents, up from a prior split-adjusted rate of 19 cents.

Based on short-term price targets offered by 30 analysts, the average price target for Walmart comes to $64.90. The forecasts range from a low of $58.33 to a high of $70.00. The average price target represents an increase of 7.91% from the last closing price of $60.14.

Although Walmart's expanding e-commerce business and long-term prospects remain attractive there could be better buying opportunities even after its stock split as this does not always translate to shares of a company moving higher immediately afterward.

Does it matter to buy before or after a stock split? If you buy a stock before it splits, you'll pay more per share than what it'll cost after it splits. If you're looking to buy into a stock at a cheaper price, you may want to wait until after the stock split.

30, 2024 — Walmart Inc. (NYSE: WMT) announced that it will conduct a split of its outstanding shares of common stock at a ratio of 3:1. The stock split is part of Walmart's ongoing review of optimal trading and spread levels and its desire for its associates to feel that purchasing shares is easily within reach.

Normally, a stock split will reduce the price per share of each share in proportion to the increase in shares. Using this example, a 2-1 split for a stock trading at $200 would halve the price to $100 and double the number of total shares outstanding.

The most common split ratios are 2-for-1 and 3-for-1, which means that a stockholder will have two or three shares, respectively, for every share held before the split.

Investing $1,000 In Walmart IPO: Walmart offered shares for $16.50 on Oct. 1, 1970 for its IPO. A $1,000 investment could have purchased 60.61 shares of Walmart stock.

Is Walmart a buy sell or hold? ›

Is WMT a Buy, Sell or Hold? Walmart has a conensus rating of Strong Buy which is based on 25 buy ratings, 3 hold ratings and 0 sell ratings. The average price target for Walmart is $65.73.

The closing price for Walmart (WMT) in 1972 was $0.01, on December 29, 1972. It was up 7% for the year. The latest price is $59.14.

From fiscal 2024 to fiscal 2026, analysts expect Walmart's revenue to rise at a CAGR of 4% as its EPS grows at a CAGR of 35%. Its stock still looks reasonably valued at 26 times forward earnings, its dividend offers a decent forward yield of 1.4%, and management has raised the payout annually for 51 consecutive years.

Jim Walton owns the most shares of Walmart (WMT). The ownership structure can impact the company's decision making, as large institutional investors may exert influence on the company's management and can also affect the company's stock price with their buying and selling patterns.

As of April 2024 Walmart has a market cap of $476.15 Billion. This makes Walmart the world's 16th most valuable company by market cap according to our data.

Do stock splits benefit investors? – It's nice to own more shares after a split, since the reduced per-share price might mean there's room for greater potential price growth. But investors shouldn't buy a stock simply because they hope it'll rise in price after a split.

Buying before a split might mean purchasing at a higher per-share price, but you'll own more shares after the split. Buying after a split could be more affordable, with the potential for the stock to appreciate.

It's basically a draw, and the value of your investment won't change. However, investors generally react positively to stock splits, partly because these announcements signal that a company's board wants to attract investors by making the price more affordable and increasing the number of shares available.

While a split, in theory, should have no effect on a stock's price, it often results in renewed investor interest, which can have a positive effect on the stock price. While this effect may wane over time, stock splits by blue-chip companies are a bullish signal for investors.