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GIS vs WMT

GIS
General Mills, Inc.
NEUTRAL
Price
$47.41
Market Cap
$25.29B
Sector
Consumer Defensive
AI Confidence
72%
WMT
Walmart Inc.
BEARISH
Price
$124.57
Market Cap
$993.12B
Sector
Consumer Defensive
AI Confidence
75%

Valuation

P/E Ratio
GIS
8.96
WMT
45.63
Forward P/E
GIS
10.09
WMT
37.93
P/B Ratio
GIS
2.67
WMT
9.96
P/S Ratio
GIS
1.32
WMT
1.39
EV/EBITDA
GIS
10.31
WMT
23.96

Profitability

Gross Margin
GIS
34.39%
WMT
24.93%
Operating Margin
GIS
15.6%
WMT
4.57%
Profit Margin
GIS
15.24%
WMT
3.07%
ROE
GIS
30.87%
WMT
21.85%
ROA
GIS
6.22%
WMT
6.83%

Growth

Revenue Growth
GIS
-6.8%
WMT
5.6%
Earnings Growth
GIS
115.5%
WMT
-19.0%

Financial Health

Debt/Equity
GIS
1.51
WMT
0.64
Current Ratio
GIS
0.66
WMT
0.79
Quick Ratio
GIS
0.35
WMT
0.2

Dividends

Dividend Yield
GIS
5.15%
WMT
0.8%
Payout Ratio
GIS
45.56%
WMT
34.43%

AI Verdict

GIS NEUTRAL

General Mills (GIS) trades at a steep discount to peers with a P/E of 8.96 versus a sector average of 22.53, supported by a robust 5.15% dividend yield and strong earnings execution, having beaten estimates in 3 of the last 4 quarters. However, the stock faces persistent headwinds from -6.80% YoY revenue growth and declining top-line momentum over the past three years, with 3Y and 1Y price returns of -31.6% and -23.4%, respectively. While profitability remains solid—ROE of 30.87% and operating margin of 15.60%—leverage is elevated at 1.51 D/E and liquidity is weak (current ratio 0.66), raising concerns about financial flexibility. Analysts are tepid with a 'hold' consensus and a $53.53 target implying only 12.9% upside, while recent insider selling adds a bearish signal.

Strengths
Attractive valuation with P/E of 8.96, significantly below sector average of 22.53 and peer TGT (10.48), CL (21.86), and MNST (40.52)
High dividend yield of 5.15% well-covered by a 45.56% payout ratio, offering income appeal in a defensive sector
Strong earnings quality: beat EPS estimates in 3 of last 4 quarters with average surprise of 4.54% and 107.7% Q/Q earnings growth
Risks
Revenue contraction of -6.80% YoY with no signs of inflection, contrasting peer MNST (+16.8%) and sector average growth of +5.46%
Deteriorating market sentiment: 3Y return of -31.6% and 1Y return of -23.4%, underperforming all major peers except TGT
Elevated leverage with Debt/Equity of 1.51, though below sector average of 3.28, limits financial flexibility and increases refinancing risk
WMT BEARISH

WMT shows bearish fundamentals based on deterministic rules. Financial strength is stable (F-Score 4/9). Concerns include weak profitability or high valuation.

Strengths
Strong ROE of 21.8%
Risks
High valuation with P/E of 45.6
Premium vs Graham Number ($27.71)
Low profit margin of 3.1%

Compare Another Pair

GIS vs WMT: Head-to-Head Comparison

This page compares General Mills, Inc. (GIS) and Walmart Inc. (WMT) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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