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Jim Walton sells shares worth over $442 million in Walmart Inc.

Published 09/10/2024, 05:58 PM
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In a recent transaction, Jim Walton, a notable stakeholder in Walmart Inc. (NYSE:WMT), sold a substantial amount of the company's stock, totaling over $442 million. The sales were executed in multiple trades with prices ranging between $76.7005 and $77.3071 per share.


The transactions, which took place on September 6 and 9, 2024, involved the sale of 1,687,471 shares at an average price of $76.7005 and 1,386 shares at an average price of $77.3071 on the first date. On September 9, an additional 4,057,369 shares were sold at an average price of $77.2022. The total value of the shares sold on these dates amounted to approximately $442,774,830.


The shares were sold indirectly by trusts, indicating that the transactions were made through entities in which Walton has a beneficial interest. According to the footnotes in the SEC filing, the sales were conducted by the Walton Family Holdings Trust, and the prices reported are the weighted average sale prices. The filing also notes that Walton is willing to provide full information regarding the number of shares and the prices at which the transactions were effected upon request.


Aside from the sales, the filing also disclosed a distribution of 1,912,000 shares of Walmart Inc. common stock from the trust to beneficiaries and a charitable gift of 406,000 shares, both of which occurred on September 9, 2024. These transactions were reported with a price of $0.0 and are not included in the total value of the sales.


Jim Walton's remaining indirect ownership in Walmart Inc. through the trust after these transactions is 611,988,318 shares. Additionally, the filing mentions Walton's disclaimed beneficial ownership of the reported securities held by Walton Enterprises, LLC, except to the extent of his pecuniary interest therein. Walton Enterprises, LLC, owns a substantial 3,002,673,393 shares of Walmart Inc. common stock.


Investors often keep a close eye on insider transactions as they can provide insights into the executives' perspectives on the company's current valuation and future prospects.


In other recent news, Walmart Inc. has seen significant developments in its financial strategy and market performance. The company's Executive Vice President and Chief Financial Officer, John David Rainey, has established a prearranged stock trading plan under Rule 10b5-1 of the Securities Exchange Act of 1934. This plan will enable Rainey to sell a predetermined number of shares at specified times, with the total number of shares capped at 95,800.


Simultaneously, Walmart has announced plans to sell a portion of its investment in JD (NASDAQ:JD).com Inc., with the potential to raise as much as $3.74 billion. This move is seen as a strategic decision to prioritize its operations in China, including Walmart China and Sam's Club.


Several financial firms have also revised their outlooks on Walmart's stock. TD Cowen maintained a Buy rating, emphasizing the company's strategic growth areas and reduction in e-commerce losses. Jefferies raised the retail giant's price target to $90 after gaining insights into Walmart's e-commerce strategies and use of artificial intelligence. Evercore ISI also raised its price target for Walmart to $80, following the company's divestiture of its stake in JD.com. Lastly, DA Davidson reiterated a Buy rating and a price target of $85 for Walmart, citing the company's ability to increase market share and grow profit margins.


InvestingPro Insights


Amidst the significant insider transactions at Walmart Inc. (NYSE:WMT), investors are closely analyzing the company's financial metrics to gauge the stock's valuation and performance. According to real-time data from InvestingPro, Walmart boasts a robust market capitalization of $633.82 billion, underscoring its substantial presence in the retail sector. The company's P/E ratio stands at a high 40.69, reflecting investor confidence in its earnings potential despite a premium valuation. Over the last twelve months leading up to Q2 2025, Walmart has seen a revenue growth of 5.43%, indicating a steady increase in its business operations.


One of the notable "InvestingPro Tips" for Walmart is its history of raising dividends, with the company increasing its dividend for 29 consecutive years. This consistent dividend growth, including a 9.21% increase in the last twelve months as of Q2 2025, showcases Walmart's commitment to returning value to shareholders. Additionally, the stock has experienced a strong return over the last month, with a 16.31% increase, further attracting investor attention.


However, it's crucial for investors to consider the broader picture. With 23 analysts having revised their earnings expectations downwards for the upcoming period, there may be concerns about Walmart's near-term profitability. This, combined with the stock trading at a high earnings multiple, suggests that investors may need to weigh the company's long-term growth prospects against its current valuation.


For investors seeking deeper insights, there are numerous additional "InvestingPro Tips" available on the platform, including analysis on the company's debt levels, price/book multiple, and more. To explore these tips and gain a comprehensive understanding of Walmart's financial health and stock performance, visit https://www.investing.com/pro/WMT.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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