Walmart gets hammered by worst drop since 1987 on forecast cut

Walmart gets hammered by worst drop since 1987 on forecast cut

Bloomberg: Walmart Inc. tumbled the most in almost 35 years after cutting its full-year profit forecast due to inflationary pressures, especially in food and fuel.

The worsening outlook shook Wall Street’s faith in Walmart’s ability to cope with higher costs for merchandise, transportation and labor. The results also underscored the pressure on US consumers as soaring prices send sentiment to the lowest in a decade. Walmart and peers already were facing tough comparisons to early 2021, when federal stimulus payments bolstered household spending during the coronavirus pandemic.