Walmart Beat Q2 Estimates
What happened?
One of the largest US retailers, Walmart, has published its earnings results for the second quarter of 2021, which exceeded analysts’ expectations. As a result, the stock of Walmart surged!
Earnings per share: $1.78 vs the forecast of $1.57.
Revenue: $141.05 billion vs expected $137.17 billion.
Overall performance
Walmart was among those stocks which benefited from the Covid-19 pandemic. Walmart’s stores remained open during lockdowns as they sell essential products. Moreover, the company adapted fast to the new environment and expanded its e-commerce segment during the online shopping boom. Now the company enjoys the return of customers back to its stores. It seems that Walmart wins under any scenario. Besides, now, it's going to hire a cryptocurrency chief, to build its digital currency strategy.
Forecast
From the long-term perspective, Walmart is likely to rise further amid the broad shift to defensive stocks. However, not all analysts have such optimistic predictions.
Tech outlook
Walmart is moving inside the ascending channel. It is getting closer to the high of late November at $153.50. It may struggle to cross it and reverse down to the close support level of $150.00. The move above the resistance level of $153.50 will open the way up to the psychological mark of $160.00. Support levels are the round number of $150.00 and the 50-week moving average of $142.00.
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