Walmart shares surge on earnings beat, e-commerce sales rise 43%

Earnings

Walmart is set to report earnings for the past holiday quarter before the bell on Tuesday.

Here’s what analysts are expecting, based on a survey by Refinitiv:

  • Earnings per share, adjusted: $1.33
  • Revenue: $138.7 billion
  • Same-store sales in the U.S.: up 3.2 percent

Last year, Walmart was targeting e-commerce sales growth of 40 percent. Analysts will be looking on Tuesday to see if it got there. The company has invested heavily in adding more products — like celebrity-inspired apparel and high-end camping gear — to its website in order to achieve that target and compete with Amazon. It’s also been on a buying spree of online brands like Art.com and Bare Necessities.

Analysts will also be looking to see what Walmart has to say about Chinese tariffs and India’s tightening e-commerce regulations, in light of Walmart’s $16 billion acquisition of Flipkart. India has said it will now ban internet retailers like Flipkart from selling products from companies in which they hold equity interest.

Walmart has already trimmed its earnings outlook for 2019 once, citing the impact of the Flipkart deal. It’s also said it expects e-commerce growth will be less robust in 2019 compared with last year, as it’s still fighting to win more shoppers online and looking for ways to do that.

This is a developing story. Please check back for updates.

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