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Walmart (NYSE:WMT) PS Ratio

: 0.75 (As of Today)
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The PS Ratio, or Price-to-Sales ratio, or Price/Sales, is a financial ratio used to compare a company's market price to its Revenue per Share. As of today, Walmart's share price is $59.615. Walmart's Revenue per Share for the trailing twelve months (TTM) ended in Jan. 2024 was $79.94. Hence, Walmart's PS Ratio for today is 0.75.

Warning Sign:

Walmart Inc stock PS Ratio (=0.75) is close to 10-year high of 0.79

The historical rank and industry rank for Walmart's PS Ratio or its related term are showing as below:

WMT' s PS Ratio Range Over the Past 10 Years
Min: 0.38   Med: 0.57   Max: 0.79
Current: 0.75

During the past 13 years, Walmart's highest PS Ratio was 0.79. The lowest was 0.38. And the median was 0.57.

WMT's PS Ratio is ranked worse than
66.12% of 304 companies
in the Retail - Defensive industry
Industry Median: 0.425 vs WMT: 0.75

Walmart's Revenue per Sharefor the three months ended in Jan. 2024 was $21.40. Its Revenue per Share for the trailing twelve months (TTM) ended in Jan. 2024 was $79.94.

During the past 12 months, the average Revenue per Share Growth Rate of Walmart was 7.20% per year. During the past 3 years, the average Revenue per Share Growth Rate was 6.90% per year. During the past 5 years, the average Revenue per Share Growth Rate was 6.60% per year. During the past 10 years, the average Revenue per Share Growth Rate was 5.20% per year.

During the past 13 years, Walmart's highest 3-Year average Revenue per Share Growth Rate was 35.80% per year. The lowest was 2.50% per year. And the median was 11.80% per year.

Back to Basics: PS Ratio


Walmart PS Ratio Historical Data

The historical data trend for Walmart's PS Ratio 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 Jan15 Jan16 Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23 Jan24
PS Ratio
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.63 0.72 0.68 0.64 0.69

Walmart Quarterly Data
Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24
PS Ratio 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 0.64 0.66 0.69 0.69 0.69

Competitive Comparison

For the Discount Stores subindustry, Walmart's PS Ratio, along with its competitors' market caps and PS Ratio 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 PS Ratio Distribution

For the Retail - Defensive industry and Consumer Defensive sector, Walmart's PS Ratio distribution charts can be found below:

* The bar in red indicates where Walmart's PS Ratio falls into.



Walmart PS Ratio Calculation

The PS Ratio, or Price-to-Sales ratio, or Price/Sales, is a financial ratio used to compare a company's market price to its Revenue per Share. It is a ratio widely used to value stocks and it was first used by Ken Fisher.

Walmart's PS Ratio for today is calculated as

PS Ratio=Share Price/Revenue per Share (TTM)
=59.615/79.935
=0.75

Walmart's Share Price of today is $59.615.
Walmart's Revenue per Share for the trailing twelve months (TTM) ended in Jan. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $79.94.

* 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.

It can also be calculated from the numbers for the whole company:

PS Ratio=Market Cap/Revenue

The Revenue here is for the trailing 12 months.


Walmart  (NYSE:WMT) PS Ratio Explanation

The PS Ratio is an excellent valuation indicator if you want to compare a stock with its historical valuation or with the stocks in the same industry. The PS Ratio works especially well when you want to compare the stock's current valuation with its historical valuation. The PS Ratio is a great valuation tool for evaluating cyclical businesses where the PE Ratio works poorly. It works the best when comparing the current valuation with the historical valuation because over time, a company's profit margin tends to revert to the mean.

When the PS Ratio is applied to the whole stock market, it can be used to evaluate the current market valuation and projected returns. In this case, the price is the total market cap of all stocks that are traded, and sales are the GDP of the country. This is how Warren Buffett estimates the broad market valuation and project future returns.

Similar to the PE Ratio or Price-to-Operating-Cash-Flow or Price-to-Free-Cash-Flow , the PS Ratio measures the valuation based on the earning power of the company. This is where it is different from the PB Ratio , which measures the valuation based on the company's balance sheet.


Be Aware

The PS Ratio does not tell you how cheap or expensive the stock is. It cannot be used to compare companies in different industries. It works better for companies within the same industry because these companies tend to have similar capital structures and profit margins. It works the best when comparing a company with itself in the past.


Walmart PS Ratio Related Terms

Thank you for viewing the detailed overview of Walmart's PS Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Walmart (NYSE:WMT) Business Description

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 each week.
Executives
John D Rainey officer: Executive Vice President C/O PAYPAL HOLDINGS, INC., 2211 NORTH FIRST STREET, SAN JOSE CA 95131
Jim C Walton director, other: Director C/O WALTON ENTERPRISES, INC., P.O. BOX 1860, BENTONVILLE AR 72712
S Robson Walton director, 10 percent owner, officer: Chairman of the Board C/O WALTON ENTERPRISES, INC., P.O. BOX 1860, BENTONVILLE AR 72716-0105
Alice L Walton 10 percent owner 110 N.W. SECOND STREET, SUITE 300, BENTONVILLE AR 72712
C Douglas Mcmillon officer: Executive Vice President 702 SW 8TH STREET, BENTONVILLE AR 72716
John R. Furner officer: Executive Vice President 702 SW 8TH STREET, BENTONVILLE AR 72716
Rachel L Brand officer: Executive Vice President 702 S.W. 8TH STREET, BENTONVILLE AR 72716
Christopher James Nicholas officer: Executive Vice President 702 SW 8TH STREET, BENTONVILLE AR 72716
David Chojnowski officer: Senior Vice President 5505 BLUE LAGOON DRIVE, MIAMI FL 33126
Daniel J Bartlett officer: Executive Vice President 702 SW 8TH STREET, BENTONVILLE AR 72716
Randall L Stephenson director 208 S. AKARD ST., DALLAS TX 75202
Judith J Mckenna officer: Executive Vice President 702 S.W. 8TH STREET, BENTONVILLE AR 72716
M. Brett Biggs officer: Executive Vice President 702 SW 8TH STREET, BENTONVILLE AR 72716
Marc E. Lore officer: Executive Vice President 443 GREENWICH STREET, PHA, NEW YORK NY 10013
Kathryn J. Mclay officer: Executive Vice President 702 S.W. 8TH STREET, BENTONVILLE AR 72716