Walmart Cuts EPS Outlook to $2.75-$2.85 as $4.56 Gas Prices Squeeze Shoppers

14 articles · Updated · CNBC · May 21

Walmart forecast fiscal 2027 adjusted EPS of $2.75 to $2.85 and current-quarter EPS of 72 to 74 cents, both below Wall Street estimates, sending shares down about 2% premarket.
A $175 million first-quarter fuel headwind and fading tax-refund support drove the cautious guidance, with finance chief John David Rainey warning shoppers will feel more pressure in the second quarter.
Revenue still rose 7% to $177.8 billion in the quarter, matching adjusted EPS expectations at 66 cents, while same-store sales increased 4.1% and global e-commerce jumped 26%.
The weaker outlook stands out because major retailers have recently reported resilient demand, though Walmart said higher gas prices and broader economic worries are increasingly straining household budgets.
That makes Walmart's guidance a fresh test of U.S. consumer health as sentiment hits record lows and the retailer absorbs rising costs to keep prices competitive.

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