Wall Street Eyes Walmart Results for Signs of Tighter Margins, Slower Growth

Wall Street Eyes Walmart Results for Signs of Tighter Margins, Slower Growth
A Wal-Mart Pickup-Grocery test store in Bentonville, Ark., on June 4, 2015. Rick Wilking/Reuters
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NEW YORK, NY—When Walmart on Thursday reports how it fared during the holiday quarter, investors also will want to see how higher labor, transportation, and materials may affect the retailer’s margins, given its “Everyday Low Price” strategy.

Refinitiv estimates total gross margins to be 23.90 percent in the fourth quarter, down from 25.26 percent in the prior quarter, while revenue is expected to fall 0.6 percent to $151.15 billion.