Earnings Alerts

WALMEX* Earnings: 4Q EBITDA Misses Estimates with Modest Growth in Revenue and Net Income

By February 14, 2025 No Comments
  • Walmex’s fourth-quarter EBITDA was MXN27.38 billion, which represents a 2.5% increase year over year but missed the estimate of MXN28.48 billion.
  • Net income for the quarter came in at MXN15.20 billion, up 1.4% year over year; however, it was below the forecasted MXN16.03 billion.
  • Revenue surpassed expectations, reaching MXN274.71 billion, a rise of 8.3% year over year, beating the estimate of MXN273.41 billion.
  • Basic earnings per share (EPS) were MXN0.871, slightly down from MXN0.86 in the previous year and below the estimated MXN0.92.
  • Operating income was recorded at MXN21.48 billion, which was lower than the expected MXN22.75 billion.
  • EBITDA margin stood at 10%, falling short of the estimated 10.4%.
  • Mexico’s EBITDA margin was 10.2%, whereas Central America’s margin was 8.7%.
  • There are 14 buy recommendations for the company, 6 hold recommendations, and no sell recommendations.

Wal-Mart de Mexico SAB de CV on Smartkarma

Analyst coverage on Wal-Mart de Mexico SAB de CV has been positive, with Value Investors Club highlighting the company as the largest retailer in Mexico and Central America, boasting 3,901 stores. The analysis views Wal-Mart de Mexico as a well-run, high-quality business, presenting a long-term investment opportunity. Despite Mexican equities being de-rated due to government policies, quality businesses like Wal-Mart de Mexico are noted to have discounted valuations, making them attractive options for investors. The report discusses the attractiveness of the Mexican market, with a particular focus on Wal-Mart de Mexico y Centroamerica (Walmex).

Published on Smartkarma, the report dated Thursday, Oct 31, 2024, emphasizes the strengths of Wal-Mart de Mexico SAB de CV as a reliable investment choice in the region. The information provided is sourced from publicly available sources and is intended for general informational purposes. This analysis underscores the perception of Walmex as a strong and sustainable business in the retail sector of Mexico and Central America, positioning it as a compelling long-term prospect for potential investors.


A look at Wal-Mart de Mexico SAB de CV Smart Scores

FactorScoreMagnitude
Value2
Dividend4
Growth3
Resilience4
Momentum3
OVERALL SMART SCORE3.2

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

Wal-Mart de Mexico S.A.B. de C.V.’s long-term outlook, as assessed by Smartkarma Smart Scores, shows a mixed picture. While the company scores well in areas such as dividends and resilience, with a strong score of 4 in each, its value and growth scores are more moderate, at 2 and 3 respectively. Momentum, another key factor, also falls in the middle with a score of 3. This indicates that while the company offers solid dividends and has shown resilience, there may be room for improvement in terms of value and growth prospects going forward.

Wal-Mart de Mexico S.A.B. de C.V. is a major player in the retail sector, offering a wide range of products through various store formats including Wal-Mart Supercenters, Sam’s Club wholesale outlets, Bodega discount stores, and Superama supermarkets. With a focus on food, clothing, and other merchandise, the company has established a strong presence in the market. Despite facing some challenges in value and growth, its emphasis on dividends and resilience underscores its stability in the long term.


Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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