WALMART (+) : An uncertain macro, but levers available to prime the pump

Research evidence excerpt

WALMART (+) : An uncertain macro, but levers available to prime the pump

EQUITIES

GENERAL RETAIL

WALMART OUTPERFORMPRICE* USD121.3  TARGET PRICE USD146 (UPSIDE 20%) TARGETnon materialPRICE EPS 01/27e-2% EPS 01/28e-3%

An uncertain macro, but levers available to prime the pump

Refer to our first look for expanded thoughts on the Q1 print. Shares are -7% vs. S&P500 ~flat.22 MAY 2026

Securities Research Report

Production time: 11:15* (London time) The key issue: prime position to capitalize on an uncertain macro

Research Analysts & Publishing Entities The theme of uncertainty seems to be intensifying across retail as tax refund benefits dissipate, fuel

Chris Bottiglieri, CFA costs remain elevated, and inflationary pressures persist. While some give-back in WMT shares is

BNP Paribas Securities Corp1 understandable given a rather elevated valuation, bigger picture we continue to view this as a

(+1) 646 342 2463

christopher.bottiglieri@us.bnpparibas.com company well-positioned to capitalize on a deteriorating macro backdrop, particularly as the

company sees solid momentum in high-growth verticals (e.g. US e-com +26%), continues to lean

Ian Davis

into speed and delivery (60% of US households can now be served in <30min), and is focused onBNP Paribas Securities Corp1

(+1) 212 710 9784 investing into price to drive unit volume gains (which we view as coming at the expense of fixed price

ian.m.davis@us.bnpparibas.com retailers – e.g. DLTR (UP), DG (PP) which should further aid trip consolidation.

Hunter Lawson

BNP Paribas Securities Corp1 10 key takeaways from Walmart’s results

+1 934-233-7189 1) Lower-income consumers feeling the pinch from higher fuel 2) Gen merch +MSD – strength in

hunter.lawson@us.bnpparibas.com