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Walmart (NYSE:WMT) Earnings Yield (Joel Greenblatt) %

: 4.80% (As of Jul. 2023)
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Walmart's Enterprise Value for the quarter that ended in Jul. 2023 was $487,259 Mil. Walmart's EBIT for the trailing twelve months (TTM) ended in Jul. 2023 was $23,386 Mil. Walmart's Earnings Yield (Joel Greenblatt) for the quarter that ended in Jul. 2023 was 4.80%.

The historical rank and industry rank for Walmart's Earnings Yield (Joel Greenblatt) % or its related term are showing as below:

WMT' s Earnings Yield (Joel Greenblatt) % Range Over the Past 10 Years
Min: 2.97   Med: 5.99   Max: 11.26
Current: 4.85

During the past 13 years, the highest Earnings Yield (Joel Greenblatt) of Walmart was 11.26%. The lowest was 2.97%. And the median was 5.99%.

WMT's Earnings Yield (Joel Greenblatt) % is ranked worse than
57.78% of 315 companies
in the Retail - Defensive industry
Industry Median: 6.07 vs WMT: 4.85

Joel Greenblatt's definition of earnings yield has the same problems the regular earnings yield does. It does not consider the growth of the company. It only looks at one-year's business operation. For cyclical companies, the earnings yield is usually highest at the peak of the business cycle. But these earnings are rarely sustainable.

A better indicator of the attractiveness of an investment which takes growth into account is the Forward Rate of Return (Yacktman) %. Walmart's Forward Rate of Return (Yacktman) % for the quarter that ended in Jul. 2023 was 8.84%. The Forward Rate of Return uses the normalized Free Cash Flow of the past seven years, and considers growth. The forward rate of return can be thought of as the return that investors buying the stock today can expect from it in the future.


Walmart Earnings Yield (Joel Greenblatt) % Historical Data

The historical data trend for Walmart's Earnings Yield (Joel Greenblatt) % 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 Jan14 Jan15 Jan16 Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23
Earnings Yield (Joel Greenblatt) %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 4.12 5.82 5.10 4.73 4.29

Walmart Quarterly Data
Oct18 Jan19 Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23
Earnings Yield (Joel Greenblatt) % 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 4.85 3.32 4.29 4.10 4.80

Competitive Comparison

For the Discount Stores subindustry, Walmart's Earnings Yield (Joel Greenblatt) %, along with its competitors' market caps and Earnings Yield (Joel Greenblatt) % 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 Earnings Yield (Joel Greenblatt) % Distribution

For the Retail - Defensive industry and Consumer Defensive sector, Walmart's Earnings Yield (Joel Greenblatt) % distribution charts can be found below:

* The bar in red indicates where Walmart's Earnings Yield (Joel Greenblatt) % falls into.



Walmart Earnings Yield (Joel Greenblatt) % Calculation

In his book, The Little That Beat the Market, hedge fund manager Joel Greenblatt defines Earnings Yield as operating income divided by enterprise value.

Walmarts Earnings Yield (Joel Greenblatt) for the fiscal year that ended in Jan. 2023 is calculated as

Earnings Yield (Joel Greenblatt)=EBIT/Enterprise Value
=19144/446045
=4.29 %

Walmart's EBIT for the trailing twelve months (TTM) ended in Jul. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $23,386 Mil.



Walmart  (NYSE:WMT) Earnings Yield (Joel Greenblatt) % Explanation

Joel Greenblatt defines the earnings yield using the above equation because it more accurately reflects the company's profitability relative to its stock price. Items like interest payment and tax etc. are not directly related to the company's operational profitability.

Enterprise Value instead of market cap (share price) is used in the calculation because it is the real price stock and bond investors together pay for the company.


Be Aware

Joel Greenblatt's definition of earnings yield has the same problems the regular earnings yield does. It does not consider the growth of the company. It only looks at one-year's business operation. For cyclical companies, the earnings yield is usually highest at the peak of the business cycle. But these earnings are rarely sustainable.

Forward Rate of Return (Yacktman) % based on Don Yacktman's definition is a better measure of the expected rate of return for a stock.


Walmart Earnings Yield (Joel Greenblatt) % Related Terms

Thank you for viewing the detailed overview of Walmart's Earnings Yield (Joel Greenblatt) % provided by GuruFocus.com. Please click on the following links to see related term pages.


Walmart (NYSE:WMT) Business Description

Walmart logo
Industry
Address
702 S.W. 8th Street, Bentonville, AR, USA, 72716
Walmart serves as the preeminent retailer in the United States, with its strategy predicated on superior operating efficiency and offering the lowest priced goods to consumers to drive robust store traffic and product turnover. Walmart augmented its low-price business strategy by offering a convenient one-stop shopping destination with the opening of its first supercenter in 1988.Today, Walmart operates over 4,700 stores in the United States (5,300 including Sam's Club) and over 10,000 stores globally. Walmart generated over $420 billion in domestic namesake sales last year, with Sam's Club contributing another $84 billion to the firm's top line. Internationally, Walmart generated $100 billion in sales. The company serves around 240 million customers globally.
Executives
John D Rainey officer: Executive Vice President C/O PAYPAL HOLDINGS, INC., 2211 NORTH FIRST STREET, SAN JOSE CA 95131
Randall L Stephenson director 208 S. AKARD ST., DALLAS TX 75202
Donna Morris officer: Executive Vice President 345 PARK AVENUE, SAN JOSE CA 95110
Kathryn J. Mclay officer: Executive Vice President 702 S.W. 8TH STREET, BENTONVILLE AR 72716
Suresh Kumar officer: Chief Technology Officer 860 W. CALIFORNIA AVE., SUNNYVALE CA 94086
Cesar Conde director ONE OWENS CORNING PARKWAY, TOLEDO OH 43659
Stephen Easterbrook director MCDONALD'S CORPORATION, 110 NORTH CARPENTER STREET, CHICAGO IL 60607
Rachel L Brand officer: Executive Vice President 702 S.W. 8TH STREET, BENTONVILLE AR 72716
Sarah Friar director C/O NEXTDOOR HOLDINGS, INC., 420 TAYLOR STREET, SAN FRANCISCO CA 94102
Judith J Mckenna officer: Executive Vice President 702 S.W. 8TH STREET, BENTONVILLE AR 72716
Carla A Harris director 702 SW 8TH STREET, BENTONVILLE AR 72716
John R. Furner officer: Executive Vice President 702 SW 8TH STREET, BENTONVILLE AR 72716
David Chojnowski officer: Senior Vice President 5505 BLUE LAGOON DRIVE, MIAMI FL 33126
Marc E. Lore officer: Executive Vice President 443 GREENWICH STREET, PHA, NEW YORK NY 10013
Steuart L Walton director 702 SW 8TH STREET, BENTONVILLE AR 72716