Author Topic: WMT - Walmart Inc  (Read 54579 times)

AzCactus

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Re: WMT - Walmart Inc
« Reply #20 on: October 14, 2015, 12:12:02 PM »
I would be somewhat interested in learning more if they were buying back shares like crazy right now. 


dwy000

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Re: WMT - Walmart Inc
« Reply #21 on: October 14, 2015, 12:32:49 PM »
I would be somewhat interested in learning more if they were buying back shares like crazy right now.

To be fair they announced that they have fully used up their previous share repurchase allocation and committed to buy back $20bn of stock over the next 2 years.  That's more than 10% of market cap (today) over the next 2 years.

Picasso

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Re: WMT - Walmart Inc
« Reply #22 on: October 14, 2015, 12:38:24 PM »
I'm curious how they balance that with the shares being sold by the Walton's.

handycap5

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Re: WMT - Walmart Inc
« Reply #23 on: October 14, 2015, 12:49:13 PM »
i view WMT's announcement (basically continued middling revenue growth, but a significant increase in costs to counteract the loss of business to Amazon) as a huge negative for the retail space generally. WMT is a very large, strong business which faces an existential threat from Amazon - and it is going to spend real money to try aggressively turn things around. i imagine this will come in the form of offering, pricing, logistics, etc. and since "me too" offerings don't seem to do well online, WMT will have to not just meet but beat AMZN's offerings.

if Sears' prospects looked unfavorable with WMT in a torpor, how are they when WMT is willing to thrash aggressively to compete?

i bet they wish they had prevailed in the Quidsy sale.

others comments?

Picasso

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Re: WMT - Walmart Inc
« Reply #24 on: October 14, 2015, 12:55:26 PM »
Yeah that was my first thought as well.  Sears as a retailer is pretty much screwed.

karthikpm

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Re: WMT - Walmart Inc
« Reply #25 on: October 14, 2015, 03:33:39 PM »
i view WMT's announcement (basically continued middling revenue growth, but a significant increase in costs to counteract the loss of business to Amazon) as a huge negative for the retail space generally. WMT is a very large, strong business which faces an existential threat from Amazon - and it is going to spend real money to try aggressively turn things around. i imagine this will come in the form of offering, pricing, logistics, etc. and since "me too" offerings don't seem to do well online, WMT will have to not just meet but beat AMZN's offerings.

if Sears' prospects looked unfavorable with WMT in a torpor, how are they when WMT is willing to thrash aggressively to compete?

i bet they wish they had prevailed in the Quidsy sale.

others comments?

Will Walmart survive or thrive with these low margins and lower prices?  Are there any examples of a non-niche brick and mortar company successfully competing against Amazon?

Palantir

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Re: WMT - Walmart Inc
« Reply #26 on: October 14, 2015, 05:21:36 PM »
WMT actually has a nice online store. Wonder if it will amount to anything here.
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rkbabang

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Re: WMT - Walmart Inc
« Reply #27 on: October 14, 2015, 05:50:26 PM »
WMT actually has a nice online store. Wonder if it will amount to anything here.

I don't know what the people are like in Walmarts nation wide, but I told my wife not to ever buy anything online at Walmart again and have it shipped to our local store.  It took me over an hour to pickup 3 items that my wife purchased.   And no, there was no one in line in front of me.  The person couldn't find the order on his computer (even though I had a print out of the receipt and the email telling me that the order was ready) then he couldn't find the boxes in back.  Then he couldn't figure out how to use the register to do whatever it was he had to do before letting me take them.  Then he didn't want to let me take them, because I wasn't my wife, even though she put me as an authorized person to pick it up. I had a seat and just waited, and waited, and waited....he even kept appologising to me and telling me that he was "a little slow sometimes".  Even thanked me for not getting mad and yelling at him the way some people do.  I much prefer Amazon Prime to the freakshow you see by entering that place (both the workers and the customers).   Walmart has a long way to go if it wants to compete with Amazon, It needs to offer free shipping to your home for one, I don't see it happening.

Jurgis

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Re: WMT - Walmart Inc
« Reply #28 on: October 14, 2015, 06:02:29 PM »
they will generate $80bn of cash over the next 3 years

How exactly they are going to generate $80bn of cash over the next 3 years?
Is this FCF after capex? OCF?

Edit: it looks like they might do $20B OCF this year, so I guess $80bn in next 3 years is also OCF.
« Last Edit: October 14, 2015, 06:08:07 PM by Jurgis »
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hyten1

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Re: WMT - Walmart Inc
« Reply #29 on: October 14, 2015, 06:48:56 PM »
i guess my experience is unique? i use to pretty much only buy from amazon.

but its been a few years where i have been splitting my purchase btw amazon and walmart. amazon doesn't always have the best price. and when i do buy from walmart i always get free shipping as long as the order is over $50.

hy