>
Switch to:

Walmart Owner Earnings per Share (TTM)

: 3.63 (As of Oct. 2021)
View and export this data going back to 1970. Start your Free Trial

In 1986 Berkshire Hathaway Shareholder Letter, Warren Buffett defined owner earnings as follows:

"These represent (a) reported earnings plus (b) depreciation, depletion, amortization, and certain other non-cash charges...less (c) the average annual amount of capitalized expenditures for plant and equipment, etc. that the business requires to fully maintain its long-term competitive position and its unit volume (If the business requires additional working capital to maintain its competitive position and unit volume, the increment also should be included in (c))...Our owner-earnings equation does not yield the deceptively precise figures provided by GAAP, since (c) must be a guess - and one sometimes very difficult to make. Despite this problem, we consider the owner earnings figure, not the GAAP figure, to be the relevant item for valuation purposes - both for investors in buying stocks and for managers in buying entire businesses...All of this points up the absurdity of the 'cash flow' numbers that are often set forth in Wall Street reports. These numbers routinely include (a) plus (b) - but do not subtract (c)."

Walmart's Owner Earnings per Share (TTM) ended in Oct. 2021 was $3.63. It's Price-to-Owner-Earnings ratio for today is 39.96.


The historical rank and industry rank for Walmart's Owner Earnings per Share (TTM) or its related term are showing as below:

NYSE:WMT' s Price-to-Owner-Earnings Range Over the Past 10 Years
Min: 8.82   Med: 15.75   Max: 41.41
Current: 39.98

8.82
41.41

During the past 13 years, the highest Price-to-Owner-Earnings ratio of Walmart was 41.41. The lowest was 8.82. And the median was 15.75.


NYSE:WMT's Price-to-Owner-Earnings is ranked lower than
82% of the 177 Companies
in the Retail - Defensive industry.

( Industry Median: 12.23 vs. NYSE:WMT: 39.98 )

Walmart's Earnings per Share (Diluted) for the three months ended in Oct. 2021 was $1.11. Its Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Oct. 2021 was $2.86. It's PE Ratio ratio for today is 50.72.

Walmart's EPS without NRI for the three months ended in Oct. 2021 was $1.11. Its EPS without NRI for the trailing twelve months (TTM) ended in Oct. 2021 was $2.86. It's PE Ratio without NRI ratio for today is 50.72.


Walmart Owner Earnings per Share (TTM) Historical Data

The historical data trend for Walmart's Owner Earnings per Share (TTM) can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Walmart Annual Data
Trend Jan12 Jan13 Jan14 Jan15 Jan16 Jan17 Jan18 Jan19 Jan20 Jan21
Owner Earnings per Share (TTM)
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 7.44 5.41 3.59 6.63 9.80

Walmart Quarterly Data
Jan17 Apr17 Jul17 Oct17 Jan18 Apr18 Jul18 Oct18 Jan19 Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21
Owner Earnings per Share (TTM) Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 11.41 9.80 7.09 4.71 3.63

Competitive Comparison

For the Discount Stores subindustry, Walmart's Owner Earnings per Share (TTM), along with its competitors' market caps and Owner Earnings per Share (TTM) data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

Walmart Owner Earnings per Share (TTM) Distribution

For the Retail - Defensive industry and Consumer Defensive sector, Walmart's Owner Earnings per Share (TTM) distribution charts can be found below:

* The bar in red indicates where Walmart's Owner Earnings per Share (TTM) falls into.



Walmart Owner Earnings per Share (TTM) Calculation

In 1986 Berkshire Hathaway Shareholder Letter, Warren Buffett defined owner earnings as follows:

"These represent (a) reported earnings plus (b) depreciation, depletion, amortization, and certain other non-cash charges...less (c) the average annual amount of capitalized expenditures for plant and equipment, etc. that the business requires to fully maintain its long-term competitive position and its unit volume. (If the business requires additional working capital to maintain its competitive position and unit volume, the increment also should be included in (c))...Our owner-earnings equation does not yield the deceptively precise figures provided by GAAP, since (c) must be a guess - and one sometimes very difficult to make. Despite this problem, we consider the owner earnings figure, not the GAAP figure, to be the relevant item for valuation purposes - both for investors in buying stocks and for managers in buying entire businesses...All of this points up the absurdity of the 'cash flow' numbers that are often set forth in Wall Street reports. These numbers routinely include (a) plus (b) - but do not subtract (c)."

To make it simple, then you will have:

Owner Earnings per Share (TTM) = (Net Income + Depreciation, Depletion and Amortization + Change In Deferred Tax - 5Y Average of Maintenance Capital Expenditure + Change In Working Capital) / Shares Outstanding (Diluted Average)

Walmart's Owner Earnings per Share (TTM) Calculation:

TTM / Last Quarter Average of Last 20 Quarters
Net Income 8,020
Depreciation, Depletion and Amortization 10,771
Change In Deferred Tax -737
5Y Average of Maintenance Capital Expenditure 7,071
Change In Working Capital -837
Shares Outstanding (Diluted Average) 2,797

1. Start with "Net Income" from income statement. Walmart's Net Income for the trailing twelve months (TTM) ended in Oct. 2021 was $8,020 Mil.

2. "Depreciation, Depletion and Amortization" is from cashflow statement. Walmart's Depreciation, Depletion and Amortization for the trailing twelve months (TTM) ended in Oct. 2021 was $10,771 Mil. This needs to be added back because company does not actually need to pay cash for it. It is a non-cash item.

3. Other non-cash charges usually include "Stock Based Compensation" and "Change In Deferred Tax":
However, to be conservative, GuruFocus will not add Stock Based Compensation back to net income. Walmart's Change In Deferred Tax for the trailing twelve months (TTM) ended in Oct. 2021 was $-737 Mil.

4. Average maintenance capital expenditure over a business/industry cycle: 5-Year Average Maintenance Capital Expenditure = $7,071 Mil

It is usually best to take a long-term average of maintenance capital expenditure. Ideally this would be as long as 10 years and include at least one economic downturn. However, since many companies do not have as long as 10-year history, here GuruFocus uses the latest 5 years data to do the calculation. To smooth out unusual years but reflect recent developments, we take an average of the 5 year maintenance capital expenditure.

The following shows how to get maintenance capital expenditure.

First, calculate the revenue change regarding to the previous year. If the revenue decreased from the previous year, then the Maintenance Capital Expenditure = Capital Expenditure (positive).
Second, if the revenue increased from the previous year, then calculate the percentage of Net PPE as of corresponding Revenue.
Growth Capital Expenditure = Percentage of Property, Plant and Equipment as of corresponding Revenue * Revenue Increase
Third, calculate Capital Expenditure (positive) - Growth Capital Expenditure.
If [Capital Expenditure (positive) - Growth Capital Expenditure] was negative, then the Maintenance Capital Expenditure = Capital Expenditure (positive).
If [Capital Expenditure (positive) - Growth Capital Expenditure] was positive, then the Maintenance Capital Expenditure = Capital Expenditure (positive) - Growth Capital Expenditure.
Fourth, get the average of the 5 years maintenance capital expenditure.

Walmart's 5-Year Average Maintenance Capital Expenditure = $7,071 Mil

5. "Change In Working Capital" is from cashflow statement. Walmart's Change In Working Capital for the trailing twelve months (TTM) ended in Oct. 2021 was $-837 Mil.
Note: GuruFocus' Change in Working Capital is provided by Morningstar. It is calculated by adding the items under "Change in operating assets and liabilities" (may refer to a different name for different company) section in Cash Flow Statement from original financial report. And sometimes it includes non-current parts of assets and liabilities.

6. Walmart's Shares Outstanding (Diluted Average) for the months ended in Oct. 2021 was 2797.000 Mil.

Walmart's Onwer Earnings Per Share for Oct. 2021 is calculated as:

Owner Earnings per Share (TTM)
=( Net Income+Depreciation, Depletion and Amortization+Change In Deferred Tax
=( 8020 +10771+-737
-5Y Avg of Maintenance CAPEX+Change In Working Capital )/Shares Outstanding (Diluted Average)
-7070.6176110168+-837)/2797.000
=3.63

Price-to-Owner-Earnings=Current Price/Owner Earnings per Share (TTM)
=145.06/3.63
=39.96

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Be Aware

Assumption: Companies usually do not report maintenance capital expenditures and growth capital expenditures separately. Here we use estimated numbers and average them over 5 years. The method to estimate maintenance capital expenditures can be found in above part 4.

Note: GuruFocus' Change In Working Capital is provided by Morningstar. It is calculated by adding the items under "Change in operating assets and liabilities" (may refer to a different name for different company) section in Cash Flow Statement from original financial report. And it includes non-current parts of assets and liabilities.


Walmart Owner Earnings per Share (TTM) Related Terms

Thank you for viewing the detailed overview of Walmart's Owner Earnings per Share (TTM) provided by GuruFocus.com. Please click on the following links to see related term pages.


Walmart Business Description

Walmart logo
Industry
Consumer Defensive » Retail - Defensive NAICS : 452210 SIC : 5331
Address
702 Southwest 8th Street, Bentonville, AR, USA, 72716
America's largest retailer by sales, Walmart operated over 11,400 stores under 54 banners at the end of fiscal 2021, selling a variety of general merchandise and grocery items. Its home market accounted for 78% of sales in fiscal 2021, with Mexico and Central America (6%) and Canada (4%) its largest external markets. In the United States, around 56% of sales come from grocery, 32% from general merchandise, and 10% from health and wellness items. The company operates several e-commerce properties apart from its eponymous site, including Flipkart and shoes.com (it also owns a roughly 10% stake in Chinese online retailer JD.com). Combined, e-commerce accounted for about 12% of fiscal 2021 sales.
Executives
Lore Marc E. officer: Executive Vice President 221 RIVER STREET, 8TH FLOOR HOBOKEN NJ 07030
Biggs M. Brett officer: Executive Vice President 702 SW 8TH STREET BENTONVILLE AR 72716
Penner Gregory Boyd director 1149 CHESTNUT STREET SUITE 200 MENLO PARK CA 94025
Harris Carla A director 702 SW 8TH STREET BENTONVILLE AR 72716
Walton Steuart L director 702 SW 8TH STREET BENTONVILLE AR 72716
Mayer Marissa A director 702 SW 8TH STREET BENTONVILLE AR 72716
Flynn Timothy Patrick director JPMORGAN CHASE & CO. 270 PARK AVENUE NEW YORK NY 10017
Friar Sarah director C/O MODEL N, INC. 1800 BRIDGE PARKWAY REDWOOD CITY CA 94065
Walton Jim C 10 percent owner C/O WALTON ENTERPRISES, INC. P.O. BOX 1860 BENTONVILLE AR 72712
Walton S Robson director, 10 percent owner C/O WALTON ENTERPRISES, INC. P.O. BOX 1860 BENTONVILLE AR 72716-0105
Walton Alice L 10 percent owner 110 N.W. SECOND STREET SUITE 300 BENTONVILLE AR 72712
Mcmillon C Douglas director, officer: President and CEO 702 SW 8TH STREET BENTONVILLE AR 72716
Chojnowski David officer: Senior Vice President 5505 BLUE LAGOON DRIVE MIAMI FL 33126
Horton Thomas W director 4333 AMON CARTER BLVD. FORTH WORTH TX 76155
Reinemund Steven director 700 ANDERSON HILL RD PURCHASE NY 10577

Walmart Headlines

Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)