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WalMart Carnage: Stock Plummets Most In 17 Years After Slashing Earnings Guidance, Blames Wage Hikes
Do you see what happens Larry when Wal-mart succumbs to "progressive" pressure and hikes wages? This:
- WMT CFO: NEW HIRES TO START AT $10 PER HOUR NEXT YEAR
- WMT CFO: 2017 RISE IN WAGES TO COST $1.5B
- WMT PLANS REDUCTION IN CAPITAL EXPENDITURES THROUGH FY19
- WAL-MART SEES FY2017 EPS DECREASING 6-12% VS FY2016
More from Reuters:
- Company says strong dollar expected to hurt full-year revenue by $15 bln
- Company says full-year net sales growth expected to be "relatively flat", mainly due to strong dollar; Walmart had earlier forecast 1-2 pct growth
- Says expects fiscal 2017 earnings per share to fall by 6-12 pct due to higher wages and training costs
- Company's $20 bln share buyback shrugged off in another sign that allure of buybacks is fading
- Up to Tuesday's close, stock had fallen about 22 pct this year
The summary from WSJ:
Wal-Mart, which is hosting a meeting with analysts today, also said it projects per-share earnings to decline by 6% to 12% in its next business year. Analysts, according to Thomson Reuters, have anticipated $4.73 in per-share profit for fiscal 2017, higher than the $4.54 expected for 2016.
“Fiscal year 2017 will represent our heaviest investment period,” said Charles Holley, Wal-Mart’s Chief Financial Officer. Operating income will be affected by previously announced investments, Mr. Holley said. Those investments include about $1.1 billion in e-commerce and digital initiatives.
By fiscal 2019, Wal-Mart said it expects earnings per share to rise 5% to 10%. Separately on Wednesday, Wal-Mart said its board approved a new $20 billion share repurchase program, replacing the $8.6 billion remaining on its program authorized in 2013.
In August, the retailer warned its profits would suffer this year as it steps up spending amid increasing competition. The company’s investments on behalf of customers have crimped profits but helped reverse a sales slump: Sales at U.S. stores open for at least a year rose 1.5% in the most recent quarter, the fourth quarterly increase after a long period of decline.
Yes, the company just slashed its 2017 earnings forecast by up to a whopping 12%... but at least the workers are happy, if not so much the market as WMT stock plunges the most since Lehman February 2000 September 1998, and has lost more market cap than Twitter.
Carnage:
The news spread quickly, in the process blowing up WMT's bid/ask spread (chart courtesy of nanex)
Sending the dividend yield to record highs...
Dropping WMT below $200bn market cap (and AMZN now $56bn larger)...
We are sure these analysts will be explaining how the market has it all wrong...
Not even the company announcing a just as surprising $20 billion stock buyback is helping it.
Oh and speaking of "happy workers", now that WMT has just become an activist target, and eliminate any growth CapEx for the next 4 years, expect the company to proceed with the logical next step after it hikes wages: massive layoffs.
Congratulations American workers: you lose again!
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Where's YenCross. I want him to answer to his claim that gold was going down this morning.
I can't play this drinking game at work
Just buy a bottle of your favorite Russky white lightning on the way home and make up the ones you missed...
Fuck Wal-Mart, the destroyer of small towns throughout America.
Stop sending your capital to Wal-Mart, Wall Street, and The Great Wall.
Buy local, and give your capital a chance to come back to you.
I try to source everything I need from anyplace but walmart...
I love the open contradiction in announcements like this. The wage hike will cost $1.5B, while they simultaneously have $20B sitting around for stock buybacks. But it's the $1.5B that is the problem.
It's not just that, they're business model of the '90s is well past its prime. They've done sucked the life out of every small and medium town store. There's nothing left to suck.
They're building Walmarts across from Walmarts around here... peak Walmart indeed.
Aldi is far more efficient than WM. Of course, when you only have 3 employees in the store... lol
So sorry Walmart that you are encountering financial difficulties, wish we could help.
-Former Mom & Pop store owners
Wage hikes? Followed by cutting hours = spreading poverty over a larger population base.
No friends, This is a collapse of demand. Across the board.
Retail is taking a whipping in this economy.
Layoff / Closing List: http://www.dailyjobcuts.com
-
@Dark Daze
YenX called it correctly: Au down and Cable up. Maybe you slept in and missed the move? And his reasoning was/is sound, but its been a long time since these markets followed reason.
Enjoy your day!
The fuckers knew their results are not going to be get better, so they hiked the wages - for some people - and fired a bunch of people - to compensate for the hike. The real reason is that ECONOMY SUCKS and is going down the tube.
For Christs Fucken Sake, they HIKED WAGES because MARKET FORCES demanded it! You are complaining about the fucken FREE MARKET mechanism of demand driving wages!
The $8 an hour worker was becoming HARD TO FIND (and wasn't generating $8+ anyway in profit)...so WM upped it to $9 which they feel isn't enough to attract the workers they want, so they're going to $10...WHAT's THE FUCKEN PROBLEM WITH THAT?
Wage competition is now a bad thing?
Well, there is good news. No Pension Fund, No Retirement Fund, no 'low net worth' investor has any stake in WalMart stock price performance. (do I have to say that stupid sarc thing)
The poor, poor Walton family... Imagine if they didn't receive over $6 billion in tax subsidies every year from the US government, i.e. the taxpayer... That cheap shit at Wally World isn't so cheap after all, except in quality...
Yes, correct. Collapse of demand it is indeed.
There is nothing on their shelves. Business envelopes; out. Cabinet hinges; out. And their is no selection. The same is true of Home depot. Void empty spots all over the place; lumber, hardware, etc.
Absolutely.
Folks are worried, and beginning to hunker down. The pseudo recovery mantra isn't playing anymore. If the Fed dare not raise rates a quarter percent, why would you risk valuable capital on more Walmart (or anyone else's) shit you don't need.
What these shortsighted corporate hacks, who caused all of this--and STILL continue the same fatal practices--should be worried about...is the long term change in consumer psyches that lead to a rethink about needs and wants.
The American consumer has had it with western corporate SOB's that don't invest in growing a prosperous middle class, but DO expect YOU to consume their way to rewarding THEIR protected class (corporate big shots and shareholders (Wall Street)).
If people are fed up with the way these corporations treat them...and do something about it through their spending patters...then, regardless of how we go from here, it's the right thing to do. Given their (and so many other traitorous western corporate) behavior leading us to this point--they deserve it.
If these bastards want consumers, then start finding a way to rebuild what YOU helped destroy: good-paying, western middle class manufacturing JOBS.
Otherwise, stop your whining and beat it.
Who really needs ya?
m
Just think, when you get old you start saying walmartS, "I swear it's an old people thing. "I'm going to WalmartS". "I got it at Walmarts"
You got your user name wrong, it should have been GOnad!
I wiill reiterate my usual harangue about WalMart. WMT is a TLA. They get most of their imcome from taxpayers via EBTs.
;-D
No joke!
My small town Aldis has 3 employees. Hours are a suck. BUT, if I cant grow it, it's where I go to for groceries. Literally cut my bill in half. You do have to gird up the loins and prepare to do battle with the chained carts. Love it!
In Texas they are all over the place, but they are stripped, not equiped. We shop at HEB, a regional grocery. Much cheaper, cleaner, and nicer then Fecal Mart.
Harry E. Butts, Harry is the guy over there....scratchin' himself....
"We shop at HEB, a regional grocery. Much cheaper, cleaner, and nicer then Fecal Mart."
Boy, you got that right!
We tried Aldi's - once. It wasn't until we got home and noticed that the reason for lower prices was due strictly to their smaller product size (canned goods).
The great thing about HEB is that they carry a lot of stuff from their Central Market stores too.
They're building Walmarts across from Walmarts around here... peak Walmart indeed.
The old ones will be repurposed as detention centers - a 'win-win' for Walmart and government.... though I suspect nobody thought about what Walmart's future will be when all of their customers are no longer working or 'available' to actually buy anything
They will have some plumbing problems for sure.......Do the camps need plumbing?
Detention centers? You think they'll detain us? Eradicate is a more likely option.
Holding area until the showers are freed up.....
Am I evil for laughing?
Do you self-identify as George Soros?
I hear their air conditioning/refigeration is very efficient.
They have to store the bodies somewhere so CAT's stock can rebound.
No worries. The circle jerk of money continues as they erect cell towers on their RE.
They won't pay them for long...at all.
I would venture to say most of their customers already aren't working. Their target customers are the SNAP recipients and Disablity and Social Security recepients.
The new Stawk Gift Cards donned with the mugs of Cramer and Pisani will hockey stick FCF to new all time highs next year.
Agree that it's amusing, but I doubt that 20 bil is in cash-ish form...
So.... are the 7 Walmart heirs now worth only as much as 39% of all Americans instead of 40%?
Boo-hoo......
......or are they worth MORE because of stock buybacks?
Stock still 18$ higher then its 2008 low...
And I love it when someone who doesn't know the difference between a P&L and a fucking balance sheet posts on a ZH article about stock valuation and removes all fucking doubt.
"The wage hike will cost $1.5B, while they simultaneously have $20B sitting around for stock buybacks. But it's the $1.5B that is the problem."
A-FUCKEN-RIGHT-ON-BROTHER!
PS> Who forced Walmart to pay $9 this and $10 next year for starting wages? The market forced it!...and fuckshits complain about paying people more money "ruining" Walmart while BILLIONS are pumped into shareholders already STUFFED pockets!
MUCH OF THE MONEY COURTESY THE TAXPAYERS VIA THE FEDERAL SNAP PROGRAM which OPENLY BRAGS that it takes 18% of every year...$14 BILLION of SNAP money straight into Walmarts pockets in 2011 ALONE!
>>Wal-Mart Approves New $15 Billion Share-Buyback Program"The new buyback program was effective yesterday and replaces the previous $15 billion authorization, which had about $712 million remaining,"
>>>$30 BILLION IN STOCK BUYBACKS!
>>>$30 BILLION IN STOCK BUYBACKS!
>>>$30 BILLION IN STOCK BUYBACKS!
>>>$30 BILLION IN STOCK BUYBACKS!
>>>$30 BILLION IN STOCK BUYBACKS!
>>>$30 BILLION IN STOCK BUYBACKS!
http://www.bloomberg.com/news/articles/2013-06-07/wal-mart-approves-new-...
I'm guessing the $1.5b is from cash flow and the $20b is financed (in all, or some,) with ZIRP credit.
Simple, really. One's an income statement item, one's a balance sheet item. They teach accounting lots of places.
It amazes me that a complete lack of basic acounting skills gets 86 upvotes here. LTER, the wage hike is an expense (comp/salaries), the stock repurchase is a capital management activity that is NOT an expense - you imbecile. The fucking stock repurchase has nothing to do with them trying to maintain a certain net margin or gross margin, you can say what you will about it helping things on a per share basis which it does, but this really was just a total jackass comment.
On the broader Walmart picture, again, the problem is welfare, not Walmart. Yes, WMT and anyone else should not have subsidized customer bases and employees, but nobody should. And if anybody thinks this particular issue pertains only to WMT, you're clueless. If WMT wants to compete and offer products people voluntarily buy, so be it. If they fail, well, fuck 'em let them fail. But nobody has a right to tell the company what to do, unless you own part of it in which you vote with your money (more effective than, say, politics in which voting is a joke).
"its all good" ......"its all good".......
Is this "liftoff" ?
Guidance ROLLBACK!
Setting Walmart itself aside, this is a bleak indicator for the near future, especially for the bluecollar class.
Agreed. Things are going pretty much the opposite of the official narrative.
Yes, exactly. Whether we like it or not, the welfare class and the minimum-wage class are entirely dependent on low-cost retailers like Walmart. It's a three-legged stool in fact: Walmart, Target, and the "dollar" stores. Kick out one of those legs and you'll have chaos.
Kick out EBT and you'll have chaos!
FIFY
The dollar stores are eating WM's lunch..same basic products at lower prices...Dollar General is on a tear around here...building in the lower income areas...that's the heart of WM's customer base!
So instead of having to drive 7 miles to Walmart, they can charge up the scooter and roll a mile down to Dollar General!
Same thing around here in WNY. Dollar General & Family Dollars are opening up like crazy in just about every strip mall around. Just built a DG about a block away from a 55+ subsidized tower (about 20 floors of housing for low income folks 55+), and now I see a FD building one about a block away in the other direction. The nearest WMT is a 20-30 minute bus ride (about 10-15 driving yourself)
Spotted some "customers..."
I'm confused, the blue collar class used to actually make things, not operate cash registers, not stock shelves, and certainly not loiter in doorways saying "Welcome to Walmart"...
i completely agree with you.
However
One of my long-time friends is in gradschool now. Yes I know the education is worthless and there is no work for him and he is digging a hole. But he is a blazingly smart dude and has alot to contribute to this country.
The point is that he also agrees with you on walmart but shops there almost exclusively because he spends all his money on rent and books. You can call it fiscally irresponsible but it sucks that getting a masters degree (if you're not from wealth) cripples you to the point of shopping at a store you are morally against because you have to eat. I cant bear to tell him he has made a mistake by furthering his education. And I dont have to, he knows it. One of the most intelligent poors that I know.
Sadly, the changes in universities mean lots of part time professors with no benefits, porly paid despite excellent credentials. W're going back to the medieval model wher students pursuing higher education were either perpetually proor or from wealthy families.
Sadly, if you have to go into debt for ANY degree, you're likely making a mistake.
There's quite a bit of money being an administrator at a univeristy but less for professors unlss you have tenure. The shithead I had for calculus at 8am would spend the entire time talking about campus life and parking problems instead of teaching calculaus. He should have been fired long ago but no can do when they are tenured. For lower education like hs and elementary school it's more of a dysfunctional/broken family problem then a school problem imo. Those yutes have no clue who their daddy is and the mother is either working too hard to help the kid or at the other extreme a crack head.
Son:
Thank the gods it wasn't an English class. ;-)
- Ned
Despite all evidence to the contrary?
The propaganda that Wal-Mart is the most economical place to shop is totally false. Wal-Mart is merely very convenient for those on the government tit and idiots that don't consider anything beyond their television screen.
Any truly intelligent person can easily determine that it matters little where you buy your food, but what you buy, if you are really trying to save money.
"Fuck Wal-Mart, the destroyer of small towns throughout America."
exactly. It depends on region. Its not that wal-mart is cheap. Its that it priced everyone else out except for the places that are over-priced (boutique). For people without cars the options become very limited.
Yes. Notice that there is a decline in profits.... to a reasonable really high increase for any human being. If I start to make 7% more a year for a few years.... like 8 or 9... my income is doubled. That is pretty amazing. Again, they are not losing money....just not making quite as much hand over fist by the labor of the serfs.
I have a PhD and never shop at WalMart. Even here in the Chicago area there are local stores that provide as much value, and probably are much healthier, than WalMart.
I will admit that I have been tempted to go to WalMart because it might be entertaining. I believe 2/3rds to 3/4ths of their regular customers are spending my tax dollars.
I seldom go there because after dark it's too dangerous especially in their parking lot.
One example:
Police seek 2 people after fatal Wal-Mart parking lot beatinghttp://lasvegassun.com/news/2015/sep/29/police-seek-2-people-after-fatal...
I dropped out of high school, sneaked into college, and dropped out of college, and I never shop at WalMart because it doesn't make sense for me. I don't often shop at Target or a Dollar Store, either, for the same reasons.
When I want disposable garbage, I can get it cheaper elsewhere. When I need something specific, I can buy the exact item elsewhere, and it will work, rather than something sort of similar for cheap that doesn't work. I know how to prepare meals from food ingredients, so I buy those things at a food store.
Long ago I was taught that if you're poor and need something, you really can't afford to buy the cheapest available version, because it won't work for long if at all. If you need the thing, and you're poor, you can't afford to buy it several times. You're far better off buying the entry-level model from the top brand, even if it takes a while to raise the money to get it. I used that method to buy all the tools I used for years to make a living.
And clothing? Anybody who buys more than one set of new clothes for a growing kid is a fool anyway. That's what thrift stores are for. For adults, the clothing at the mass-retail "discount" stores are priced exactly the same as at a full-price merchant, if the full-price merchant were to sell tissue-thin blue jeans and shirts with missing buttons and unraveling stitching, and plastic shoes that don't fit anyone.
My son got a couple of all wool Pendleton shirts for $12 each in his university town Goodwill store. They look brand new and would probably cost $150-200 out of their catalog.
He'll be able to pass those on to his son someday as I passed on a 40 year old Pendleton Ponderosa shirt that my neighbor gave me to my partners son. Had I been married at the time I would have saved it for the future.
I told him he won't get my Pendleton blankets until I'm dead.
That throws him off the scent for this years Xmas present. Expensive as hell but will last for generations.
You're son got a crazy good deal.
Pendleton stuff is very expensive and worth every cent.
The mini-walmart in Lakeview? You'd expect some stores to be more a reflection of the neighborhood/suburb community it's in? (mainly due to hiring.) Nope. Same low level of service as any other one. Bought a rug to be picked up from there a couple years back.
I've never set foot in it since.
Right you are HH.
10Lb. bag of rice for $5.00 at an independent grocery chain that carries mostly products produced under their own lables. Some of those same products are produced by the big operators like Delmonte, Dole and Birdseye but labled for regional grocers associations.
I always find it odd that EBT peoples carts are usually filled with junk and convience foods where the packaging is more nutritious than the food inside compared to the staples I buy because we prefer unprocessed food as much as possible.
I was sharing breadmaking tips (one of my useful hobbies) I learned the hard way with a nice young lady in the bakery aisle when an EBTer waddled by with a brood of unruly monsters in tow. Overhearing our conversation, she injected "Dat too much work, dat shit." and waddled off to the cookie section to fill her cart with probably 15 lbs. of cookies.
The girl couldn't stifle her laugh at my eyerolling grin which earned her an evil eye in return from Waddles.
The point being that people who earn their money and are careful to use it to maximise it's full potential make entirely different choices than those who live at the fountains edge where it never runs dry.
More proof that it's far easier to fill empty bellies than it is to fill empty heads.
well I hope Mr. Blazingly Smart knows about stacking some phyzz silver while he still can get some.
If not...just have him listen to this recent interview from SGTReport w/ Dr. Jeff Lewis. It's a good one.
https://www.youtube.com/watch?v=iucvBihJz7A
he has a hard time affording groceries and eats the cheapest processed crap. Im sure he would want phyzz silver but unless he can eat it then it is not a priority.
Intelligent poor? No
Overeducated poor? Certainly
If dude was 'blazing' smart...he would get a job with an employer and let them pay for his education. Speaking from experience...one master's down, working on another. Why? It's fairly easy (compared to when I was in school 15+ years ago) and its free (employer pays for it).
Yeah, so if he was really smart, he would either have full tuition or he would follow my course of action. Never borrow money to go to school.
Hedge,
I agree with you and do the same but I am privelaged to earn an income that allows me to buy local. Put yourself in the boat of a family that does work but is earning a very low income and tell them to buy locally when they can't afford to is a bit unfair.
Junk away people but the reality is some people can't afford to buy local.
i feel blessed to be able to eat local and healthy. My gf opened my eyes to the state of food in the US. I used to eat tons of processed shit and meat. Now i eat food that is "closest to the sun." plant-based protein from small growers. I feel mentally a physically so much better. But this is a luxury I have because of my job.
it looks like gf's are good for something after all :)
many things. especially when they even get paid more than you.
Absolutely. While some local is 'cheap' based on a quality versus quality comparison, most is a little spendy. (The 'efficiency of crap' model developed by WMT certainly cheapens things)
Honey is a good example. My local honey producer has to sell for double the chain store cost to make it a viable business. It is worth it to me but definitely not the 'cheapest' honey around.
honey is a great thing to point out. As "cheap honey" industrialization is destroying the bee population. Ironically right alongside monocrop culture that has to ship in its bees for pollination.
mother nature wont allow us to do this for much longer. We'll have to hand-pollinate as they have to in the far east.
Precisely-and that is one of the reasons the higher 'local' price is worth it to me. ("worth", like 'value', is tough to put a true USD price tag on)
{On a related note, all you preppers should store a little honey. It is the only foodstuff that doesn't spoil. Ever. And it can make some less palatable food stuffs easier to choke down. :^) }
Not to mention its use as an antimicrobial agent, particularly for wounds:
https://www.google.com/?gws_rd=ssl#q=honey+antimicrobial+properties
I'm sure mom & pops will hire all these box stackers in no time when WMT goes bust.
"I can't play this drinking game at work "
Look around you.
See all those coffee cups?
Not everybody went to Starbucks..
Think corner with thumb in mouth curled up in a ball...
haha I highly doubt that employee compensation had anything to do with this but it makes a convenient excuse.
Yes, indeed. WalMart is asking people to believe that they can't continue as a going concern unless they can continue to pay their workforce so little they have to be subsidized by food stamps and other forms of welfare? When WalMart's own HR offices distribute food stamp applications to their own employees, the secret of their success is out.
''him''
I always thought yencross was a girl..........
It's the histrionics.
Walmart's executives are lying their heads off. Flat earnings and chump change wage increases are not the reason why Walmart's shares plunged. The drop sounds like a bear raid, probably launched by an "activist" (greenmailer) investor.
"Flat earnings and chump change wage increases are not the reason why Walmart's shares plunged."
Abso-Fukn-Lutely. Since they no longer seem to have any 22LR in stock, why even bother stopping there any more?
WalMart Supervisor - 'Hey Shontelle, do you want the good news or the bad news?'
WalMart Employee - 'Hey Larry give us the good news'
WalMart Supervisor - 'Well Shontelle your gonna get an extra couple of bucks an hour, ain't that great huh?'
WalMart Employee - 'Sho is Larry, say whats that bad news you got?'
WalMart Supervisor - 'You only have 8 hours left to work here so get your stuff and get to fuck you fat lazy cunt'
It's the way they treat heir people.WalMart is slave labour.
Well they are "their" people after all.
That is neither hair nor there.
indentured servitude is more accurate right? They are not being held against their will, but may have very few other options.
Usually slaves were fed, clothed, and housed by their owners. Wal-Mart does none of these, so they actually don't compare well to slave owners.
Just wait until TPP goes into effect.
TPP effectively allows corporations to import foreign workers with no cap or restrictions in place.
Can't wait to shop at Walmart when it resembles an Indian 1-800 call center.
That'll finally put the unionization issue to rest.
Clearly they need moar corporate welfare. Maybe they need to do a better job teaching their employees how to get government assistance.
Wally World forgot how they got big and they are trying to make Wall St. and the NE liberal establishment happy instead of their customers and employees. It won't end well, but it will end as expected.....
Now 'white-trash America' is outta m-o-n-e-y....MOAR WELFARE!
Went to Wal Mart with my wife the other night, I walked in and thought I was in a third world Country, I made it as far as the entrance and went back to sit in the car and wait.
Hey, at least you are still alive to tell the story.
this is what happens when you couple an old computer with AT&T
Costco is no different. The US is being flooded with immigrants, and (surprise) the govt is lying about the true numbers.
was it wal mart or the idiocrocy theme park? hard to tell them apart sometimes
See you at Starbuck's.
Let me guess, it took 20 minutes to check out in the EXPRESS lane. Then you have to look out for getting your toes crushed by some 400 lb whale in a scooter, or getting hit in the parking lot by someone with no insurance.
A trip to Wal-Mart can be very expensive.
Sounds suspiciously like any given Wal-Mart in South Austin...
HAHA I feel sory for anyone who lives from between North Austin to San Antionio. Ouch.
Where I live, the Walmart is about 1/3 Indians, at any given time. For every H1-B or L-1 or Green Card holder here, they have their spouse, two sets of parents, children. So you get these roving bands of 10 Indians, two of which speak any English.
Walmart ranked second from bottom out of 68 American supermarkets surveyed. Is it any surprise that it is failing?
Walmart ranks second worst in survey of supermarkets where Americans like to buy groceries... while Wegmans takes first place
http://www.dailymail.co.uk/news/article-3025259/Walmart-ranks-second-wor...
Wow, Wegmans must be a treat. I see they do forced yoga classes for their people:
http://www.pennlive.com/bodyandmind/index.ssf/2012/03/working_wellness_i...
you could probably throw in mcdonalds too. I have no idea how either of them have survived so long. Man have they prospered from corporate-welfare, big agriculture and stagnant wages.
"I have no idea how either of them have survived so long."
Welfare rats and/or Negroes.
obviously $20B is just not enuf......
obviously....
Oooo, First "Since Lehman™" of the day....
"Forward, Comrades!"
Moar of Barry's Legacy in the making.
I'll contribute. "Nobody could have seen this coming."
"I didn't hear about it until it was on the news"
I can't wait for the robotic employees....
Even if the robots are built out of lead, they will still weigh less than the customers. If they are built with no AI than they can go straight to senior management
LOL. please make them mill around, working so hard to look like they are working. You know, to be true to the experience.
"Your floor is now clean" "Your floor is now clean" "Your floor is now clean" "Your floor is now clean" "Your floor is now clean"
They're already there!
So does this just fart in the DNC debate from last night? Free stuff. Free stuff. Free stuff.
It probably was, but Clinton was the only one onstage with the power to speak Newqueef.
Clinton farted some really nasty stuff. Bernie praised her
Was Hillary sleeping on the couch?
https://youtu.be/2wy-WcaTrZk
Donald Trump enters at the end ..
More middle eastern refugees/illegals on welfare, food stamps, free medicaid, rent and a cell phone.
Better than they ever had it in their country. All they need to do is show up to vote democratic.
Didn't Governor Moonbeam just give illegals the right to vote in California ?
Not even the company announcing a just as surprising $20 billion stock buyback is helping it...
Is said buyback to be financed with borrowed money perchance? I know, I'm a just a wee bit cynical.
from marketwatch:
The company will make capital investments of about $11 billion in fiscal 2017 and another roughly $1.1 billion on e-commerce and digital initiatives. That's after an estimated $12.4 billion of capital investments in fiscal 2016. As a result of the heavy investments, the company expects per-share earnings to decline 6% to 12% in fiscal 2017, but to rise 5% to 10% by fiscal 2019...
i call bull fucking shit. They are going to pull $20B in stock buybacks and another $22.4 in capex out of their asses? Also, they are investing "heavy" heading into the next greater depression and hoping it all goes according to plan? That company is going down the sewer folks. Next stop $50/share.
I would buy it if it goes below $50 -
sam's maggot heirs appreciate that sentiment api
I invest in a stock to make money - I don't give a fuck about the Walton's.
If Wal Mart went out of business, I'd be totally OK with that.
Walmart really isn't that bad a place to work. A guy I know currently make 12.50 as a stocker, plus a ~350 bonus per quarter. Not bad for no education...
Well, if you consider an IngSoc-style lie detector test to get your job 'not bad'...
This can't be right - I always thought all WM employees were forced at gunpoint to work there -
I don't even understand how people survive making so little. Perhaps it's because I live in San Diego, but when I was making 15 an hour it was impossible to even live in San Diego, I had to live in Tijuana and commute. I only just started making enough to move back into San Diego, and I have a studio apartment, paying 40% of my after-tax on rent.
I guess get married and both work your whole lives or be poor? Even if you marry, divorce happens pretty damn often, and then nothing can save you...
Gee I don't know... Leave San Diego?
I plan to, but I have welding school that I get free that I can't find anywhere else. So I put up with it because im young and can take it (I will only do this for another 16 months, not that long to suffer)...but who the hell can afford 12.50 an hour for years and years?
I blame this squarely on the recent plumbing problems.
I am totally shocked!!! Minimum wage is a good thing. Right????
Goodbye Wally World, I can't wait for you to roll over and die.
They should ask for energy credits for all the electric scooters they provide to haul the fatasses around. No kidding, in my area Wal-Mart is like NASCAR for the morbidly obese.
Stupid article. Dude, you really think this is how it works? You think the CFO gave everyone a very public raise so they could shoot themselves in the head with earnings?! really?! Dude, they gave wage increase because, A) They knew they had to sometime, and B) they knew it would be the perfect "kitchen sink" setup to blame falling earnings.
How about the real problem is a broken business model where their price advantge has dissapeared, the have supplier problms, inventory problems, and absolutly zero good will with customers. Ya think.
Stop ruining the ZH wage bashing. There is an agenda here and you are expected to roll with it.
Agreed, China's low cost labor advantage is gone and the margins were always razor thin. I think the big auto parts companies are right behind Wal-Mart. They have milked the Chinese cow dry
I think part of the message is the foolishness of trying to directly influence wages with a minimum wage with NO true pressure on the market. There is no true market reason for Walmart to pay more, the only reason to is because of minimum wage increases. Nothing stops them from laying off workers to compensate, or doing salary cuts of higher-level employees, or simply reducing the available hours and reinvesting the money they would have paid workers into automation technology.
Also, how the hell is a company supposed to compensate for rising wages when the entire board and all meaningful investors DEMAND higher and higher and higher stock performance? It is complete suicide to simply shoulder the cost of rising wages, which in a normal market would be considered an affordable luxury to reward a company's workers.
Our market has made it impossible for wages to rise in any significant amount, because if a company allows it they will be sunk by their investors.