Walmart Inc (WMT)
Return on total capital
| Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | Apr 30, 2020 | Jan 31, 2020 | Oct 31, 2019 | Jul 31, 2019 | Apr 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 27,012,000 | 25,319,000 | 21,812,000 | 21,350,000 | 20,428,000 | 20,754,000 | 23,851,000 | 24,351,000 | 25,942,000 | 25,542,000 | 25,528,000 | 24,233,000 | 22,548,000 | 22,383,000 | 21,323,000 | 20,847,000 | 20,568,000 | 21,313,000 | 21,581,000 | 21,748,000 |
| Long-term debt | US$ in thousands | 36,132,000 | 36,342,000 | 36,806,000 | 38,120,000 | 34,649,000 | 33,935,000 | 29,801,000 | 32,174,000 | 34,864,000 | 36,425,000 | 39,581,000 | 40,273,000 | 41,194,000 | 40,849,000 | 40,959,000 | 43,006,000 | 43,714,000 | 44,912,000 | 44,404,000 | 47,425,000 |
| Total stockholders’ equity | US$ in thousands | 83,861,000 | 79,456,000 | 79,556,000 | 72,405,000 | 76,693,000 | 72,253,000 | 77,569,000 | 76,896,000 | 83,253,000 | 82,274,000 | 80,529,000 | 78,335,000 | 80,925,000 | 81,431,000 | 75,310,000 | 68,240,000 | 74,669,000 | 71,649,000 | 70,327,000 | 68,205,000 |
| Return on total capital | 22.51% | 21.86% | 18.74% | 19.32% | 18.35% | 19.54% | 22.21% | 22.33% | 21.96% | 21.52% | 21.25% | 20.43% | 18.46% | 18.30% | 18.34% | 18.74% | 17.37% | 18.28% | 18.81% | 18.81% |
January 31, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $27,012,000K ÷ ($36,132,000K + $83,861,000K)
= 22.51%
The return on total capital for Walmart Inc has shown some fluctuations over the past several quarters. The ratios have ranged from a low of 17.37% in January 2020 to a high of 22.51% in January 2024. Overall, the return on total capital has been relatively stable, with the latest ratio at 22.51% in January 2024.
This indicates that Walmart has been relatively efficient in generating returns from its total capital over the period analyzed. A higher return on total capital suggests that the company is effectively utilizing its capital to generate profits for its shareholders.
It is important for investors and analysts to monitor this ratio over time to understand how effectively Walmart is managing its capital and generating returns for its stakeholders.
Peer comparison
Jan 31, 2024