Aug 17 (Reuters) - Walmart Inc (WMT.N) raised its annual U.S. same-store sales forecast after beating analysts' estimates on Tuesday, as shoppers coming out of lockdown bought more clothes, travel gear and back-to-school merchandise.
The results kick off a big week of earnings from major U.S retailers - including Target (TGT.N) and Macy's (M.N) - which are all expected to have benefited from people tentatively leaving their homes this summer. Investors are concerned, however, that their newfound freedom could be cut short with a resurgence in COVID-19 cases due to the more contagious Delta variant of the virus.
Sales at Walmart's U.S. stores open at least a year rose 5.2%, excluding fuel, in the second quarter ended July 31. Analysts had estimated a growth of 3.69%, according to IBES data from Refinitiv.
The world's biggest retailer has also been given a boost by stimulus checks handed out during the pandemic, and most recently from the Biden Administration's advance child tax credits. read more
Walmart said it now expects fiscal 2022 U.S. same-store sales to be up 5% to 6%, compared with the low single-digit growth it had previously forecast. The outlook accounts for continued strength in the U.S. economy and no significant additional government stimulus for the rest of the year.