Question

If I hired you in an advisory capacity and currently own Wal-Mart stock, perform a mini...

If I hired you in an advisory capacity and currently own Wal-Mart stock, perform a mini profitability analysis of Wal-Mart considering the most current financial statement information available. Do not forget to reference and provide link to financial information used. How would you advise me on the question - should I continue to hold or sell my stock holdings? Explain why.  

Homework Answers

Answer #1

For Walmart I am referring yahoo finance with the link: https://finance.yahoo.com/quote/WMT/ and for industry

https://in.investing.com/equities/wal-mart-stores-ratios

as per the ratios and industry comparison: You should continue to hold the stock.

Financial ratios:

  1. EPS = 5
  2. PE ratio = 24.48
  3. Beta = 0.4
  4. Net positive free cash flow from last 3 years

Chart : From the chart, continuous growth is visible.

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