With kids headed back to school, keep an eye on Walmart (WMT).
For one, if the WMT stock can break above resistance around $133, it could potentially refill its bearish gap around $138.80. Longer-term, we’d like to see it refill its larger bearish gap around $150.
Two, WMT should benefit from stronger back to school sales. In fact, according to a 2022 Deloitte Back to School Survey, “The BTS estimated market size will reach $34.4B this year, up 24% since 2019, in spite of unprecedented disruption.”
Three, it appears a good deal of negativity has been priced into the stock. Weakness here may be a good opportunity, especially for long-term investors. Even better, WMT carries a dividend yield of 1.69% at the moment.
Earlier this year, the company approved an annual cash dividend for fiscal year 2023 of $2.24 per share. The next pay date is September 6 for shareholders of record as of August 12. Following that, WMT will pay another dividend on January 3, 2023 to shareholders of record as of December 9, 2022.
Again, it appears most of the negativity has been priced in. Weakness may be an opportunity.