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Walmart sees a wider range of outcomes for first-quarter profit as tariffs kick in - MarketWatch

1. Walmart may absorb increased costs due to tariffs to keep prices stable. 2. First-quarter sales growth is expected between 3% to 4% despite challenges. 3. Operating income growth outlook has widened from 0.5% to 2.0% due to tariffs. 4. Walmart's stock fell 1.8% in premarket trading, down 9.5% in 2025. 5. Earnings report scheduled for May 15 is expected to show slight decline.

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FAQ

Why Bearish?

Increased tariffs may pressure margins, reflecting negatively on investor sentiment. Historical tariff impacts on retail, like the 2018 China tariffs, led to stock price declines in major retailers.

How important is it?

Current economic environment and tariff effects are critical, influencing investor decisions heavily focused on Q1 results.

Why Short Term?

Immediate impact from Q1 results expected on May 15, with operational challenges likely affecting stock price in the short term.

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