While softer-than-expected full-year guidance from Walmart dragged retail stocks lower as investors worried that the enormous chain is expecting consumer spending to slow down this year, there is no reason to panic just yet,

Walmart shares dropped around 5% in premarket trading on Thursday after the retail giant projected slower profit growth for the upcoming fiscal year, despite continued sales momentum. Investors reacted negatively to the company’s outlook,

Equities research analysts at DA Davidson lowered their FY2026 earnings estimates for shares of Walmart in a report issued on Friday, February 21st. DA Davidson analyst M. Baker now anticipates that the retailer will post earnings per share of $2.