03:01 PM EDT, 10/11/2024 (MT Newswires) -- Walmart ( WMT ) is seeing continued strength in the grocery business, while the remodeled sections at its Supercenter in Charlotte, North Carolina, are experiencing "impressive" sales lifts, BofA Securities said in a note e-mailed Friday.

The brokerage's team visited the retail giant's remodeled Supercenter with certain company executives as part of its North Carolina investor store tours earlier this week. The tour indicated that Walmart ( WMT ) is continuing to expand grocery market share and attract new customers while focusing on value.

"As private label continues to resonate with customers, (the company) highlighted a very strong response to its 'Bettergoods' brand launched earlier this year that features over 300 chef-inspired/trend-forward items at affordable price-points," BofA analyst Robert Ohmes said in a note to clients.

The remodeled store had upgraded displays in the apparel, home and baby, as well as the adult beverage sections. These sections are recording "impressive" sales lifts, with fashion up 15% and adult beverage up 30%, Ohmes said. Walmart ( WMT ) has introduced new electronics brands and products, according to the note.

The store included a "Pick-Up 2.0" format that allows up to four times greater digital order fulfillment and improved productivity. "As strong momentum continues in delivery, (Walmart ( WMT )) is increasingly seeing lower-income customers lean into the service, (including) through its Walmart+ membership program," the analyst wrote. BofA said Walmart+ represented a "significant portion" of the delivery business for the store it visited.

The brokerage raised its price objective on the Walmart ( WMT ) stock to $95 from $85 while reiterating its buy rating.

The company's shares were up 0.4% in Friday late-afternoon trade. The stock's up 52% so far this year.

"Focus on value, convenience (and) assortment enhancements continue supporting (Walmart ( WMT )) share gains across incomes and product categories," Ohmes said.

Last month, the company outlined its holiday season plans with early shopping deals and the "inflation-free" meal offer.

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