Walmart will report earnings before the bell — here's what to expect

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Walmart cut its profit outlook this summer but has attracted customers with low-priced groceries.

and other retailers have kicked off the holiday season early. Walmart threw its own sales event in October to coincide with Amazon's second Prime Day-like sales event of the year. Walmart is also spreading out Black Friday deals well ahead of the day after Thanksgiving, with fresh promotions dropping every Monday in November.

As inflation runs hot, however, Walmart may benefit from its strength in grocery and reputation for low prices. It is the largest grocer in the country, with about 56% of its annual revenue coming from groceries last fiscal year. Already, Walmart has said it has drawn new and higher-income customers. In August, Walmart Chief Financial Officer John David Rainey told CNBC that about three-quarters of Walmart's market share gains in food came from customers with annual household incomes of $100,000 or more.

By dangling cheaper groceries and essentials, Walmart hopes it can also nudge shoppers across the aisle to buy clothes, toys and other items.cut its full-year profit outlook in JulyIt said it expects same-store sales for Walmart U.S. to grow by about 3%, excluding fuel, for the second half of the year, or about 4% for the full year. It anticipates adjusted earnings per share will decline between 9% and 11% for the full year.

Shares of Walmart are down about 4% so far this year, outperforming the approximately 17% drop of the S&P 500 index. The company's shares closed Monday at $138.39, bringing Walmart's market value to about $375.62 billion.

 

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