On Thursday, The Street published an article by Brian Sozzi titled, "Disturbing News From Walmart Could Signal Retail Shockwaves."
Within the report, Sozzi wrote that Wal-Mart Stores, Inc. WMT ugly guidance should be a “wake up call” for for retail investors.
On Wednesday, Wal-Mart hosted its annual investor conference. The company lowered its 2014 sales outlook, and projected that operating income will be flat in 2015.
Moreover, Wal-Mart lowered its EPS guidance in August by $0.25 per share.
Sozzi argues that Wal-Mart’s downbeat guidance was likely affected by the greater pricing competition from e-commerce and is potentially a sign that other retailers will report weaker than expected earnings as well.
Retail stocks are set to begin reporting earnings in mid-November.
Shares of Wal-Mart were last trading at $73.70, down 2 percent.
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