Walmart, Home Depot: Advantage to Defense

It is not easy to find a satisfactory definition of defensive values ​​among the oracles of Wall Street, although it is difficult to see clearly about interest rates and inflation. That doesn’t stop them from praising the above-average resistance from Walmart, which gave them a better-than-expected quarterly release and an increase in its annual forecast.

If the stock remained at However, this is precisely because of the shrinking gross margin _instead of the expected expansion_ enough to fuel concerns about costs and supply chains.

But the world’s leading distributor has established the conviction that it would survive the “online” wave, by gaining market share over less resilient rivals, which prevents it from blaming it too much. normalizing the pace of its online sales at this stage.

It even seems tougher than its runner-up _in the listed retail sector_ Home Depot . The DIY giant has unveiled activity growth below forecasts, while refraining from giving forecasts, because of pandemic uncertainties. He received a sustained sanction (-5%) despite a slightly lower valuation rating.

New state of mind He has not lost the advance accumulated in 2021 but this hot reaction is very indicative of the state of mind of financial investors. They have turned the page on the windfall effects of containment on certain household spending in 611, even if they continue to scrutinize the variants. They are all the more attentive to market shares and profit margins.