Walmart Withdraws Earnings Guidance Amid Tariff Uncertainty

Walmart (NYSE: WMT) has withdrawn its operating profit forecast for the current quarter. The company cited tariff-related uncertainties as the reason. Rising import duties from countries like China and Vietnam have impacted cost structures. Walmart aims to keep pricing flexible to protect margins.

Despite the near-term challenges, Walmart reaffirmed its full-year guidance. The retailer expects net sales to grow between 3% and 4%. It also sees adjusted operating profit growth between 3.5% and 5.5% for the year.

Walmart highlighted additional concerns, including insurance-related costs and shifts in consumer behavior. Shoppers are spending more on low-margin essentials due to inflation. This change in product mix has also pressured the company’s margins.

CEO Doug McMillon said Walmart will continue focusing on pricing discipline, inventory efficiency, and expense control. He admitted that the current environment remains unpredictable. However, the company will stick to its long-term strategy.

Technical Analysis

Walmart’s stock is currently trading at $90.46, up 10.53%, with a high of $90.80. The price has bounced from a strong support zone near $82, forming a bullish momentum candle. WMT is now testing a resistance area at $89, previously a demand zone.

A successful break and retest could lead to a rally toward the $105.30 previous high. However, rejection at this level could see the price fall back to the $82 support. But with the recent bullish momentum, a breakout at $89 is possible.