“We’re expecting another solid quarter with further signs of a domestic recovery bolstered by strong growth from overseas. Despite setbacks in Mexico and South Africa, Walmart International remains the company’s growth engine and we are anticipating strong numbers coming from the UK and Latin America in particular.
A continuation of the positive comp trend in the US is also to be expected, which would mark four consecutive quarters of comparable sales growth and indicate stability in Walmart’s domestic strategy. That said, we remain doubtful over the longevity of Walmart’s back-to-basics approach. Low prices are no longer a USP, but an expectation from shoppers. The recent closure of an Express store indicates that the format, despite being profitable, is a long way from perfection. Walmart needs to accelerate its multi-channel initiatives in order to sustain the current positive momentum.”
Natalie Berg, Global Research Director