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Fortune
Fortune
Hallie Steiner

Walmart has kept prices low during inflation and raised pay for managers. Investors aren't happy

Walmart Inc. President and CEO Doug McMillon (Credit: Ethan Miller—Getty Images)

Walmart leadership remained optimistic on a Q4 earnings call Thursday, reporting 5.2% sales growth and a 13% dividend increase, marking the largest rise in over a decade. However, results weren’t strong enough to sway investor concern over weaker projected growth. Walmart shares dipped about 6% as the company predicted weaker growth in 2025 because of inflation-weary consumers and looming tariff threats. In another blow to the company, Walmart reported lower quarterly revenue than Amazon for the first time ever.

While the company maintained low prices throughout the pandemic and periods of inflation, and garnered praise for its pay bumps of up to $620,000 for middle managers, investors are not pleased with its less than stellar projections.

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