Citigroup Reports on Wal-Mart

Citigroup commented on Wal-Mart WMT in a report released yesterday. In the report, Citigroup was positive in its assessment. Citigroup writes, “We were pleasantly surprised by WMT's first quarter earnings beat. While Walmart U.S. comps of (-1.1)% remained in negative territory, it was the company's best comp performance in six quarters. Also, we are encouraged that the company's 4-Point Plan to reinvigorate its U.S. comps is starting to gain traction in the areas where changed have been made to date. We continue to believe that the inflection point in WMT's U.S. comps will not come until 4Q, but maintain our Buy rating in light of attractive valuation and upside from current levels.” Citigroup currently has a Buy/Medium Risk rating on Wal-Mart and a price target of $70. Shares of WMT closed the trading day at $55.54, down slightly from $56.14 at the open.