Wal-Mart (WMT) Falls On Rare Downgrade

Despite gains in the broader market, shares of mega-retailer Wal-Mart Stores (NYSE: WMT) are under pressure today. The stock is down nearly 3%, reacting to a downgrade from Outperform to Neutral at Credit Suisse.

The firm sees an increased competitive threat from rival Target (NYSE: TGT), which is focusing on reducing prices. They also said waning inflation and slowed square footage growth could pressure Wal-Mart.

The firm cut their price target on Wal-Mart from $60 to $53.

Wal-Mart has been a clear winner from the economic slowdown, but even Wal-Mart is facing challenges. Earlier in the month, Wal-Mart had to ratchet down its Q4 EPS forecast.

Overwhelmingly, analysts covering Wal-Mart rate it a Buy. In fact 70% recommend investors buy it, 26% are neutral on the stock and just 4% rate it a sell.

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