- Deutsche Bank upgraded Walmart to Buy from Hold and raised its price target to $136 from $113, implying about 17% upside from Wednesday's close.
- Analyst Krisztina Katai argues persistent inflation reinforces Walmart's value proposition and accelerates market-share gains.
- Katai cites higher-margin revenue streams and supply-chain automation as drivers of incremental margin expansion.
- Walmart's Sparky AI shopping assistant is reported to produce baskets roughly 40% larger for customers who use it, per Katai.
- Shares rose about 2.5% to $118.96 after an initial morning pop of 2.7%.
- Of 44 analysts covering Walmart, 39 rate the stock buy or strong buy and five rate it hold, per LSEG data cited by CNBC.
Quotes
“The current inflationary environment should reinforce WMT's value proposition and support accelerated share gains”