By Sam Boughedda
Oppenheimer told investors in a note Monday that the firm would take advantage of any weakness in Walmart (NYSE:WMT) shares associated with its Analyst Day event, which the company will host on April 4th and 5th.
Oppenheimer analysts, who have an Outperform rating and $160 price target on the stock, said WMT shares remain a top pick, and they expect an upbeat tone from WMT management on the underlying drivers of the business.
They believe the company is "likely to reiterate FY23 (Jan. 2024) guidance and L-T targets for 4%-plus sales growth and operating income growth ahead of sales growth."
"We also anticipate an increased focus this year on alternative revenue streams and return on investment," the analysts wrote. "Finally, we are focused on the company's ability to better translate earnings growth into FCF, which has been a challenge in the discounter space lately (TGT, DG, DLTR, etc.)."
"Historically, WMT shares have had mixed performance on analyst days. We would take advantage of any weakness with the event."