Topic: Growth Stocks

Wall Street Stock Forecaster Hotline – Friday, February 22, 2013

Article Excerpt

WAL-MART STORES INC., $70.40, New York symbol WMT, reported better-than-expected earnings this week. In its 2013 fiscal year, which ended January 31, 2013, Wal-Mart’s sales rose 5.0%, to $469.2 billion from $447.0 billion in fiscal 2012. Acquisitions added $4.0 billion to its 2013 sales. However, unfavourable currency exchange rates cut sales by $4.5 billion. If you disregard currency rates, Wal-Mart’s sales would have risen 5.1%. Sales at the company’s U.S. stores (which supply 59% of the total) rose 3.9%, and same-store sales gained 1.8%. That’s mainly because Wal-Mart’s ongoing cost cuts are giving it more room to cut its prices. Sales at the international stores (29% of the total) gained 7.4%, while sales at the company’s Sam’s Club warehouse outlets (12%) rose 4.9%. The higher sales helped push up Wal-Mart’s earnings by 7.8%, to $17.8 billion from $15.8 billion. Earnings per share rose 10.6%, to $5.02 from $4.54, on fewer shares outstanding. The latest earnings also beat the consensus estimate of $4.92…