By Brooke DiPalma

Walmart (WMT) raised its full-year financial outlook after beating Wall Street estimates on both the top and bottom lines, but the stock fell 6% in premarket trading after US same-store sales slowed.

America's biggest retailer, often considered a bellwether for the industry, posted revenue growth of nearly 6% to $187.9 billion, above the roughly $186 billion expected, per Bloomberg consensus data. Adjusted earnings per share clocked in at $0.81, also higher than the $0.74 expected.

However, US same-store sales grew 2.6%, below Wall Street's forecast of 3.7%.

Cheaper drug prices dragged sales growth lower. Excluding health & wellness, which was negatively impacted by maximum fair price legislation that allows Medicare to negotiate drug prices, Walmart reported 3.4% same-store sales growth in core merchandise.

During the quarter, Walmart looked to gain share with cost-conscious consumers by cutting prices on thousands of items, including beef, chips, and soda.

"We continue to make steady progress on the long-term value drivers of our business," Walmart CEO John Furner said in the release, "Our multi-year growth in eCommerce is evidence that customers are choosing Walmart because we deliver price, speed, and convenience across a broad assortment. At Walmart, they can have it all."

Traffic and ticket sizes came in lower than what Wall Street expected for the quarter.

E-commerce sales were up 23%, above the expected 22% jump, with a 24% increase in the US alone, likely tied to promotions Walmart ran to compete with Amazon's (AMZN) Prime Day event.

Operating income grew by roughly 21% year over year, as gross profit increased by 158 basis points, driven by a tariff refund benefit and partially offset by price investments and higher fuel costs.

A Walmart store with logo sign is seen in Chicago, Illinois, United States, on August 3, 2026. (Marcin Golba/NurPhoto via Getty Images)