Walmart Profit Falls Short, Cuts Outlook, Hit by Higher Fuel and Labor Costs

Walmart Inc. reported a 25 percent drop in quarterly earnings and cut its full-year profit outlook on Tuesday as rising costs of fuel and labor hurt its bottom line while shoppers squeezed by decades-high inflation moved to buy lower-margin basics.
Shares of the retailer fell nearly 10 percent in morning trading, its biggest one day percentage drop since Feb. 2018, and dragged down shares of rival Target Corp. by 3 percent.
Target reports results on Wednesday.
Walmart serves as a barometer for U.S. consumer sentiment as it is the United States’ largest retailer operating more than 5,000 stores and commands a leading position in domestic grocery sales. Its earnings are closely watched by investors for hints about the health of the U.S. economy….

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