Walmart Inc. Walmart (WMT) shares barely budged on Friday as investors looked ahead to the retailer's quarterly earnings next week. The stock is hovering near its 52-week high, and the big question is whether Walmart can keep its momentum going in a shaky economy.
BofA Securities analyst Christopher Nardone thinks it can. He reiterated a Buy rating on the stock with a price target of $150, arguing that Walmart's core customer base is resilient and that the current macro environment could actually work in the company's favor.
Walmart reports first-quarter results on Thursday, May 21, 2026. Nardone expects earnings of 65 cents per share and U.S. comparable sales growth of 4.5%. That's at the high end of the 4% to 4.5% range investors are looking for.
Here's the counterintuitive part: Nardone says prolonged economic volatility and higher gas prices could help Walmart gain market share. When consumers feel the squeeze, they trade down to cheaper options — and Walmart is the ultimate destination for value.
"We expect the core Walmart consumer will prove resilient and think a prolonged period of macro volatility and higher gas prices can accelerate share gains as consumers hunt for value," the analyst said.
Nardone also highlighted free shipping, same-day delivery, and gas discounts as key drivers keeping customers engaged. And he noted that Sam's Club recently raised membership fees across both tiers in the U.S., which could boost revenue.
On the leadership front, Nardone views Walmart's unchanged executive incentive structure as a sign of strategic continuity under CEO John Furner. Management is expected to strike a cautiously optimistic tone when discussing the full-year outlook.
Walmart shares were down 0.82% at $131.37 on Friday, approaching their 52-week high of $134.69. The stock has gained over 36% in the past year. Investors looking for exposure can consider the Global X PureCap MSCI Consumer Staples ETF (GXPS).
