Walmart Executives Express Uncertainty Over 2024 Consumer Behavior

Despite 'anomalous' spending trends and financial strain on consumers, the retail giant remains confident in its long-term plans.

Walmart's top executives, including CEO Doug McMillon and CFO John David Rainey, have expressed concerns about predicting consumer behavior in 2024 due to financial strain pushing customers to be more cautious about spending.
Rainey described recent customer behavior as 'anomalous' and 'puzzling', particularly noting a spending trend in the last two weeks of October that deviated from prior months.
Despite these concerns, Rainey stated that there is nothing about current consumer behavior and deflationary pricing that makes Walmart rethink its long-term plans.
McMillon highlighted rising credit card balances and dwindling household bank accounts as factors that raise questions about future consumer spending.
Despite a lower-than-expected full-year forecast in November, Walmart still projects sales growth, expecting consolidated net sales to rise 5% to 5.5%.