Walmart Inc. ( WMT ) shares are trading higher in the morning session on Wednesday.

Retail and consumer discretionary stock shares are trading higher after Target Corporation ( TGT ) reported strong second-quarter results and raised its profit outlook.

Quarterly adjusted earnings per share totaled $2.57 (+40%), beating the street view of $2.20. Target ( TGT ) reported sales of $25.45 billion (+2.7%), exceeding the analyst consensus of $25.229 billion.

“Our growth was driven entirely by traffic in stores and our digital channels, with double-digit growth in our same-day delivery services,” said Brian Cornell, chair and chief executive officer of Target ( TGT ). 

Target ( TGT ) has raised its FY24 adjusted EPS outlook to a range of $9.00 to $9.70, up from the previous range of $8.60 to $9.60. This new outlook compares to an estimate of $9.36.

According to an SEC filing, Walmart ( WMT ) has recently revealed plans to divest its stake in JD.com, Inc. ( JD ) , a major competitor to Alibaba.

As Walmart ( WMT ) shifts its focus to its own operations in China, it seeks to raise up to $3.74 billion from the sale.

Also Read: Alibaba-Rival JD.Com Plummets Over 7% in Pre-Market After Largest Shareholder Walmart Sells Stake To Reportedly Raise $3.74B

The retail giant is offering 144.5 million American depositary shares, priced between $24.85 and $25.85, with Morgan Stanley serving as the broker-dealer.

Recently, the company announced strong second-quarter 2025 results and raised full-year guidance.

The retailer reported adjusted EPS of $0.67 (+9.8% Y/Y), beating the consensus of $0.64 and sales of $169.34 billion, surpassing the consensus of $168.57 billion.

Walmart ( WMT ) expects third-quarter adjusted EPS of $0.51 to $0.52 versus a consensus of $0.55, and its net sales to grow 3.25% – 4.25% in CC.

Price Action: WMT shares are trading higher by 0.80% to $75.14 at last check Wednesday.

Image by Sundry Photography on Shutterstock

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