Wal-Mart Save money Live better

Jamshid Shermatov B0900475

Botirkhon Sultonov B0900477

Davron Khudoykulov B0900464

Jasurbek Bozorov B0900457

Hasan Juraev B0900459

Outline

• Overview • Competitor and Industry comparison• Ratio analysis• Prediction • Summary

OverviewWal-Mart Stores, Inc. operates more than 8,000 retail stores in three business segments globally:

•Walmart U.S. 62.1% •Walmart International 26.1% •Sam’s Club. 11.8%

Divisions of WAL-MART

• McLane’s• Neighborhood Markets• International • Sam’s Club• Supercenters• Distribution Centers

Industry Comparison

WMT COST TGT Industry

Market Cap: 200.48B 36.87B 36.60B 6.46B

Employees: 2,100,000 92,000 355,000 31.00K

Revenue Growth 8.10% 12.40% 5.10% 6.90%

Revenue 440.14B 91.30B 69.24B 6.41B

Gross Margin 25.04% 12.48% 29.94% 29.94%

EBITDA (ttm): 34.23B 3.32B 7.51B 839.00M

Operating Margin (ttm): 5.94% 2.69% 7.80% 5.97%

Net Income (ttm): 15.59B 1.47B 2.98B N/A

EPS (ttm): 4.72 3.32 4.30 1.16

P/E (ttm): 12.39 25.52 12.68 23.82

PEG (5 yr expected): 1.33 1.65 1.14 1.38

P/S (ttm): 0.46 0.40 0.53 0.57

Competitor comparison

• Domestic competitor• Cost leadership • Specialized retailer• International competitor• Good supplier relationship (China)

Liquidity ratios

  Jan 31, 2011 Jan 31, 2010 Jan 31, 2009

Working capital -6,591 -7,511 -6,441

Current ratio 0.89 0.87 0.88

Quick ratio 0.21 0.22 0.20

Cash ratio 0.13 0.14 0.13

Activity ratios

2011 2010

Accounts receivable turnover

90.755100 100.64504

Activity Payable Turnover

9.851487314 10.2751096 times

Inventory turnover 9.13464965 9.00406 times

Fixed asset turnover 4.094486958 4.210457 times

Total asset turnover 2.3867149 2.4244452 times

Leverage ratios

2011 2010 2009

Debt Ratio: 0.6056359 0.5727801 0.5895526

Debt-Equity Ratio 1.5357278 1.340714 1.436366

Times-Interest-Earned Ratio

12.745509 12.712314 11.998947

Cashflow Adequacy

23,643 26,249 23,147

Profitability ratios

Return on Sales

Jan 31, 2011 Jan 31, 2010 Jan 31, 2009

Gross profit margin 24.74% 24.78% 23.70%

Operating profit margin 6.10% 5.91% 5.68%

Net profit margin 3.91% 3.54% 3.34%

Profitability ratios

Return on Investment Jan 31, 2011 Jan 31, 2010 Jan 31, 2009

Return on equity (ROE) 23.91% 20.26% 20.53%

Return on assets (ROA) 9.07% 8.40% 8.20%

Market tests (ratios)2011 2010 2009

Earnings per Share (EPS)

$4.8 $3.861096 $3.491495

Price/Earnings (P/E)

$15.75 $16.26 $19.19

Dividend Payout 31.00% 28.2303% 27.2089%

Dividend Yield 2.38% 2.16% 2.34%

Book Value per Common Shares

$20.155per share $18.864 per share $17.029 per share

Summary

• World's largest retailer and grocery chain by sales

• Low Cost Leadership• Close customer and supplier relationship