Alice Walton sells more than $170 million in Walmart stock Via Investing.com
In a landmark moment in the retail industry, Alice Walton, a key shareholder of Walmart Inc. (NYSE:), sold most of his holdings in the company. The latest transaction revealed that Walton sold 2,219,617 shares of Walmart stock, worth more than $170 million. These sales were made over several days, at prices ranging from $78.0818 to $79.8263 per share.
The sale took place on September 17th and 19th, with 1,064,321 shares sold at an average price of $78.7295 on the first day, and 739,679 shares at an average price of $79.8263. In the second day, Walton sold 247,783 shares at an average price of $78.0818, followed by a small trade of 111,833 shares at an average price of $78.6213.
The purchase represents a major divestment for Walton, who retains most of the ownership in Walmart through direct holdings and trusts. According to the report, Walton still has more than 603 million shares indirectly through the trust after the sale, and Walton Enterprises, LLC, where he is a member, has more than 3 million shares.
The sales are consistent with other transactions by Walton that did not include a change in beneficial ownership. This includes the distribution of the Walton Family Holdings Trust to the beneficiary, including 993,000 shares on September 17th and 1,630,000 shares on September 18. Additionally, a charitable donation of 2,067,000 shares was made on September 17th.
As one of the heirs to the Walmart fortune, Alice Walton's financial moves are closely watched by investors and market analysts. These recent transactions provide a glimpse into the Walton family's management of its Walmart holdings.
Investors in Walmart will continue to monitor the activity of major shareholders like Walton, as their transactions can provide insight into their confidence in the company's future performance and strategic direction.
In other recent news, Samsung (KS:) and Xiaomi (OTC:) are facing allegations of antitrust practices in India, according to reports from the Competition Commission of India (CCI). These major smartphone manufacturers, along with others, are accused of violating local competition laws with exclusive product launches on Amazon (NASDAQ:) and Flipkart platforms. Meanwhile, Walmart's CFO, John David Rainey, has established a pre-arranged stock trading plan under Rule 10b5-1 of the Securities Exchange Act of 1934. This scheme allows for the sale of a fixed number of shares at certain times.
In the world of financial analysis, Walmart has been the focus of several firms, including TD Cowen, Jefferies, Evercore ISI, and DA Davidson, all of which maintained positive ratings and adjusted their target prices. TD Cowen raised its buy rating, highlighting strategic growth areas such as seasonal merchandise and the Walmart+ membership program. Jefferies raised Walmart's price target to $90, maintaining a buy rating, following data on the company's e-commerce strategy and use of artificial intelligence. Evercore ISI raised its price target on Walmart to $80, following the company's split from its stake in JD (NASDAQ:).com. Finally, DA Davidson reiterated a buy rating and $85 price target on Walmart, citing the company's ability to grow market share and increase profit margins. These are the latest developments that investors should watch out for.
InvestingPro Insights
Among Alice Walton's key divisions, investors closely monitor Walmart Inc.'s (NYSE:WMT) financial health and market performance. With a market capitalization of $628.11 billion, Walmart stands as a giant in the retail industry. However, the company currently trades at high earnings multiples, with a P/E ratio of 40.51, suggesting a premium valuation relative to its immediate cash flow potential.
InvestingPro's data shows that Walmart experienced a strong revenue growth of 5.43% in the last twelve months from Q2 2023, underscoring its ability to increase its sales amid challenging market conditions. Additionally, the company has shown strong returns over the past three months, with a total price gain of 17.24%, which reflects positive investor sentiment.
One of the most notable InvestingPro tips for Walmart includes its impressive record of increasing its dividend for 29 consecutive years, demonstrating its commitment to returning value to shareholders. This is also supported by a dividend yield of 1.05% through 2024. Investors may also find it worthwhile that Walmart has maintained dividend payments for 52 consecutive years, indicating financial stability and a shareholder-friendly policy.
For those looking to dive deeper into Walmart's financial metrics and strategic positioning, InvestingPro offers additional insights and tips. There are currently 15 additional InvestingPro Tips available, which provide a broader view of Walmart's performance and future prospects, accessible at
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