Wal-Mart Stores Inc (NYSE:WMT) To Spend $200 Million
Wal-Mart Stores, Inc (NYSE:WMT) said that it projects to spend around $200m less in terms of capital expenditure in the next fiscal year. The mammoth retailer also plans on building less large-format stores in the United States. On Tuesday, the company said that the plan is to spend $11.8B-$12.8B on capital-expenditures for the 2015 fiscal year, which starts in February.
The expansion plan
These investments include the expenditure on new-stores, remodeling, technology infrastructure and logistics. This eased expenditure plan that the company is aiming at indicates that it is planning on constructing 120-150 smaller –format stores and 115 larger locations. In the current fiscal year, the company had invested very heavily and built much more large stores than it had in the previous fiscal year.
Wal-Mart Stores, Inc (NYSE:WMT) projects net sales to be in the $475B-$480B range. A company spokesperson, randy Hargrove said that these figures indicate a growth of 2%-3% sales growth from the previous levels. This projection is in line with the guidance that the company had issued in August.
In Tuesday’s trading, Wal-Mart Stores, Inc (NYSE:WMT) dropped by 0.42%. The opening price of the shares was $74.43, which climbed to an intraday high of $75.37 and dipped to a close of $74.37. Approximately 8.99 million shares were traded on Tuesday while an average volume of 6.43 million shares were traded over a 30 day period. The 52-week low of Wal-Mart Stores, Inc (NYSE:WMT) shares is $67.37 and its 52-week high is $79.96.
About the company
Wal-Mart Stores, Inc (NYSE:WMT) operates various retail stores in different formats across the globe. The company’s follows the Everyday Low Prices pricing-philosophy. Under this philosophy, its prices a large number of its products at a very low-rates, everyday. Wal-Mart Stores, Inc (NYSE:WMT) operates in 3 business segments: 1) the Walmart U.S. segment, 2) the Walmart International segment, and 3) the Sam’s Club segment.