Wal-Mart (WMT) PT Raised to $89 at Deutsche Bank Following 2Q
Deutsche Bank analyst Paul Trussell raised the price target on Wal-Mart (NYSE: WMT) to $89.00 (from $87.00) while maintaining a Hold rating following the company's 2Q earnings report. WMT posted a shockingly strong 2Q comp up 4.5% in the U.S., which easily topped the Street's 2.3%.
Trussell thinks today's print should be viewed favorably for the dollar stores, although he does think WMT took share in 2Q. Nevertheless, Deutsche Bank believes that WMT's results showcase the strength of the low-end consumer, in addition to favorable weather that drove robust growth in seasonal categories and beverages. Deutsche Bank's FY18 EPS forecast goes up 9c to $4.65 (Street $4.78; guidance $4.90-$5.05).