Walmart Financial Analysis Essay

1228 Words5 Pages

Wal-Mart Stores, Inc. is navigating through a time of change in the retail business coupled with the need to make numerous technological advancements. This has definitely been a huge player in affecting the stock performance of the firm as well as its finance. There have been closure of stores as a strategic decision to ensure continued profitability of the company. Nonetheless, Walmart seems not to be doing that badly after all. In the fiscal year 2016, Wal-Mart Stores managed to come up with a revenue of about $482, which is in exclusion of more than $17 billion in currency impacts implying the revenue would have been over $499 billion (Wal-Mart Stores, 2016). In the future, the company looks forward to adding up on between $45 and $60 billion …show more content…

For example, there has been about $60 billion in revenue growth, $129 billion cash flow from operations as well as over $55 billion that has been returned to shareholders through share repurchases and dividends (Wal-Mart Stores, 2016). With reference to the stock, the stock price is currently at $68.66 although this majorly a decrease given the high stock prices especially in 2015 hitting more than $90 per share. However, it is impressive that the company decided to raise the annual dividend up to $2.00 per share, which is good news for investors. In general, based on the fact that Wal-Mart is among the biggest corporation in the United States with numerous outlets, it is evident that it heavily impacts the environment, the workers as well as natural resources. Analyzing the firm’s commitment to achieving CSR goals is in terms of opportunity, sustainability and the community. Delving deeper into the aspect of opportunity, it reveals the company’s aim to enhance economic mobility as well as the inclusion of workers in supply chains. Similarly, …show more content…

There is undeniable effort categorically in supply chain emissions. Initially, Walmart had promised to cutting its emissions by about 20m metric tons of greenhouse gas emissions in a span of five. Surprisingly, five years later and going onwards, the firm has managed to eliminate about 28.2m metric tons of greenhouse gas emissions (Stankevičiūtė, Grunda & Bartkus, 2012). Under programs such as Field to Market that teaches the best practices especially for farmers. This stretches far beyond the confines of the Walmart supply chain. This way, the company managed to use the opportunity of fertilizer use on farms as one of the main ways to reduce on supply chain emissions. Another great strength that Walmart exhibits in terms of sustainability practices is its preservation of natural habitats. Although there have been a number of complaints by communities regarding the huge amount of space that Walmart stores occupy, the company strives to preserve an equivalent piece of land in terms of wildlife habitat. According to Gunther (2015), through over 60 projects in about 32 states, the firm has aided in restoring over a million acres of wildlife habitat. However, Walmart has still had a number of failures as pertains to sustainability. This has been particularly clear in response to the climate issue that necessitates use of renewable energy. Around the world, only about 26% of Walmart’s energy