WalmartThe former CEO of the United States, Bill Simon, believes that the fall of actions on Thursday is strange.
The Big-Box retailer raised his sales and profits prognosis throughout the year, but the action still fell 4.5%. Walmart He ended Thursday as the largest dog loser.
“It was almost as good as any retailer that could have in any environment,” he said about CNBC’s “fast money.” “I do not receive the reduction in the market today at all.”
Simon, who directed Walmart US from 2010 to 2014, cites Walmart’s capacity to involve buyers with lower prices while absorbing tariffs as a key advantage.
“If you liked yesterday, I don’t know why you don’t love them today. Topline is growing. They are expanding their margin,” he said. “They are really hitting it in all cylinders.”
Simon is still active in the consumer space, now that it serves in the Darden restaurants board and how Hanesbrands president. When it comes to Walmart, see the decision to raise guidance despite tariffs as a key reason for optimism.
“As for tariffs, there is no tariff impact on that business,” Simon said.
He suggested that investors may have been hung in the first fault of Walmart profits in more than three years, which was mainly driven by unique expenses, including restructuring costs and insurance claims.
“It’s a large number, but it’s a unique adjustment,” Simon said. “It’s not a … systemic problem.”
Simon has not always been optimistic in the Walmart business. In May 2024, he told “Fast Money” that high -income buyers were creating a “bubble” in Walmart. His concern: they would return to premium retailers once inflation began to decrease.
But that has not happened. Simon now holds the most cheaper pricing attraction and the convenience of having groceries and general goods in a place as magnetic.
“Yes [Walmart] You can maintain those higher lines, and that is your forecast, they will be just a company bear, “Simon said.
Walmart’s shares rose 8% so far this year. However, there are approximately 7% below the maximum record on February 14.
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