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Jefferies' retail expert Daniel Binder took a unique approach to evaluating
Wal-Mart Stores, Inc.WMT and its stock by visiting stores first hand.
Speaking as a guest on CNBC's
"Squawk On The Street," Binder said that the New Jersey market used to contain some "pretty rough stores." However, the analyst's most recent on the ground checks showed an improvement in store perception.
He noted that the once "rough stores" have now been cleaned up with lots of merchandise in stock and an improved attitude from the checkout staff.
"We were impressed by that," Binder said. "We expected a decent update on the execution of that plan."
However, Binder stated that he was more concerned about Wal-Mart's execution in its online business. In fact, the company showed a deceleration in e-commerce and also showed a loss of market share in the international segment, specifically in the UK.
"I don't think all of the stars are aligned," the analyst concluded. "But we are certainly seeing good progress and I think Wal-Mart will be a beneficiary of what appears to be a pay raise for the lower income households."
Shares of Wal-Mart were trading higher by nearly 9 percent early Thursday afternoon.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Posted In: CNBCMediaDaniel BinderJefferiesRetailer EarningsretailersWal-MArt eCommerceWal-Mart Interantioanl
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