Yahoo Finance Analysis: Walmart (WMT) Doubles Down on Streaming Ad Business with Vibe.co Acquisition, Yet Stock Underperforms Peers Year-to-Date
Yahoo Finance analysis points out that Walmart completed the acquisition of Vibe.co, a self-serve streaming TV ad platform, on August 4th, aiming to convert its shopping data into advertising revenue. Although Walmart's revenue grew by 7%-7.3% year-over-year in the most recent quarter, with e-commerce business up 26% and advertising revenue soaring by 37%, its stock price has only risen by about 1% year-to-date, significantly underperforming competitors like Target and Costco. The analysis suggests that overvaluation is the main reason for the poor stock performance, as its forward P/E ratio remains above its historical average. Walmart is set to release its earnings report on August 20th, and the market is focused on the continued growth of its advertising business and signs of easing consumer pressure, hoping to support its current valuation.
Source:Yahoo财经 · Source Link
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