Full Breakdown
Walmart Reports Slowest U.S. Comparable-Sales Growth in Six Years and Raises FY 2027 Outlook
8/20/2026, 10:24:46 PM
Slowest U.S. comparable-sales growth and quarterly performance
Walmart’s fiscal second-quarter results, released on August 20, 2026, showed U.S. comparable sales up 2.6 %, the smallest increase since the 1.9 % gain for the quarter ended Jan. 31 2020. Net income for the three-month period ended July 31 was $6.37 billion, or 80 cents per share; adjusted earnings were 81 cents, beating the 74-cent consensus from FactSet. Total sales grew 5.9 % to $187.94 billion. U.S. e-commerce sales increased 24 %, slowing from 26 % in Q1.
Background & context
The modest lift occurred amid headwinds. Federal legislation caps the price of certain high-cost Medicare drugs dispensed by Walmart pharmacies, a factor Walmart said weighed on sales. Higher gasoline, grocery and other essential costs have dampened consumer sentiment, reflected in weak July retail-sales data and a University of Michigan survey showing growing pessimism. Walmart’s market-share gains are concentrated among households with annual incomes above $100,000.
Data and statistics
| Metric | Figure | Source |
|---|---|---|
| U.S. comparable-sales growth (Q2) | 2.6 % | FactSet (cited by AP) |
| Prior-quarter comparable-sales growth | 4.1 % | FactSet (cited by AP) |
| Comparable-sales growth excl. wellness | 3.4 % | Walmart |
| U.S. e-commerce growth (Q2) | 24 % | Walmart |
| Quarterly net income | $6.37 billion | Walmart (ended July 31) |
| Adjusted EPS (Q2) | $0.81 | Walmart |
| Consensus EPS estimate | $0.74 | FactSet |
| FY 2027 adjusted EPS guidance (revised) | $2.80 – $2.87 | Walmart |
| FY 2027 sales guidance (revised) | $734.656 – $741.720 billion | Walmart |
| Analyst consensus EPS forecast for FY 2027 | $2.90 | FactSet |
| Analyst consensus sales forecast for FY 2027 | $752.250 billion | FactSet |
| Expected U.S. comparable-sales growth (ex-fuel) – BofA | 3.5 % (down from 4 %) | Christopher Nardone |
| Expected constant-currency net-sales growth – BofA | 4.6 % | Christopher Nardone |
Official statements and responses
CFO John David Rainey noted the company’s price-investment program launched on July 6 is intended to expand market share in the second half of the year. Bank of America analyst Christopher Nardone said digital-sales momentum and advertising growth should help offset the slower comparable-sales pace, and that the July-6 price investments are already factored into guidance.
Conflicting reports and gaps
- Guidance vs. consensus: FY 2027 EPS guidance of $2.80 – $2.87 and sales range of $734.656 – $741.720 billion fall short of the analyst consensus of $2.90 EPS and $752.250 billion sales.
- U.S. comparable-sales forecasts: Wall Street expects a 3.8 % rise, while BofA lowered its projection to 3.5 % (ex-fuel).
- Revenue expectations: FactSet’s consensus for Q3 sales is $186.62 billion, whereas Walmart projects $184.88 – $186.23 billion.
What’s next
Walmart will host an investor call at 7 a.m. Central Time on the day of the earnings release, with Furner and Rainey leading the discussion. Analysts will focus on whether digital-sales growth and the July-6 price-investment strategy can lift margins and bring the FY 2027 outlook closer to consensus.
