Walmart shares have been strong performers this year, outperforming market indexes and peers like Target and Amazon. The company is set to report quarterly results on August 21st, with a focus on maintaining momentum after the results. The stock’s defensive attributes are due to its focus on essentials and low prices, with a growing digital operation attracting higher-income households.

Walmart’s e-commerce business in the U.S. is now profitable and expected to contribute significantly to earnings. Management has emphasized maintaining a price advantage over rivals and remains confident in achieving long-term sales and operating income growth targets. The company is expected to report $0.73 in EPS on $175.51 billion in revenues, with a positive outlook on same-store sales.

The Retail sector’s 2025 Q2 earnings season has seen positive results from companies like Walmart, Target, and Amazon. Total Q2 earnings for 21 retailers reporting are up +20.5% year-over-year on +8.7% higher revenues, with 81% beating EPS estimates. Online players and restaurant operators are showing strong performance, with Amazon’s results contributing to overall growth trends.

The Q2 earnings scorecard for S&P 500 members indicates positive growth, with total earnings up +11.4% from the same period last year. The historical context shows earnings and revenue beats percentages tracking above averages, with Q2 EPS beats at 80.5% and revenue beats at 78.8%. Estimates for the current period have firmed up, with positive performance expected in the Tech, Finance, Energy, and Retail sectors.

Read more at Nasdaq: Retail Earnings Loom: What Can Investors Expect?