Stock Analysis on Net
Stock Analysis on Net
Microsoft Excel LibreOffice Calc

Walmart Inc. (NYSE:WMT)

Market Value Added (MVA)

Advanced level

Market value added (MVA) is the difference between a firms’s fair value and its invested capital. MVA is a measure of the value a company has created in excess of the resources already committed to the enterprise.


MVA

Walmart Inc., MVA calculation

US$ in millions

Microsoft Excel LibreOffice Calc
Jan 31, 2020 Jan 31, 2019 Jan 31, 2018 Jan 31, 2017 Jan 31, 2016 Jan 31, 2015
Fair value of debt and finance lease obligations1 63,162  62,207  51,470  52,269  56,040  60,722 
Operating lease liability 17,964  8,533  10,267  11,626  13,339  9,688 
Market value of common equity 322,795  278,732  262,523  218,619  216,330  260,376 
Noncontrolling interest 6,883  7,138  2,953  2,737  3,065  4,543 
Less: Available-for-sale securities —  —  3,547  2,046  —  — 
Market (fair) value of Walmart 410,804  356,611  323,666  283,206  288,775  335,328 
Less: Invested capital2 167,329  158,768  142,543  148,752  155,895  150,353 
MVA 243,475  197,842  181,123  134,453  132,879  184,976 

Based on: 10-K (filing date: 2020-03-20), 10-K (filing date: 2019-03-28), 10-K (filing date: 2018-03-30), 10-K (filing date: 2017-03-31), 10-K (filing date: 2016-03-30), 10-K (filing date: 2015-04-01).

1 Fair value of debt. See details »

2 Invested capital. See details »

Item Description The company
MVA Walmart Inc.’s market (fair) value less invested capital. Walmart Inc.’s MVA increased from 2018 to 2019 and from 2019 to 2020.

MVA Spread Ratio

Walmart Inc., MVA spread ratio calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Jan 31, 2020 Jan 31, 2019 Jan 31, 2018 Jan 31, 2017 Jan 31, 2016 Jan 31, 2015
Selected Financial Data (US$ in millions)
Market value added (MVA)1 243,475  197,842  181,123  134,453  132,879  184,976 
Invested capital2 167,329  158,768  142,543  148,752  155,895  150,353 
Performance Ratio
MVA spread ratio3 145.51% 124.61% 127.07% 90.39% 85.24% 123.03%
Benchmarks
MVA Spread Ratio, Competitors4
Amazon.com Inc. 730.39% 729.67% 837.97% 863.33% 780.61%
Costco Wholesale Corp. 490.54% 406.02% 313.15% 288.95% 315.22%
Dollar General Corp. 150.73% 129.61% 101.03% 80.23% 119.48% 111.51%
Home Depot Inc. 547.47% 617.70% 572.85% 503.42% 463.40% 431.28%
Lowe’s Cos. Inc. 185.64% 327.73% 226.12% 230.51% 244.12% 250.60%
Target Corp. 151.69% 106.62% 96.57% 70.25% 127.36% 124.73%
TJX Cos. Inc. 271.00% 346.02% 289.43% 302.98% 348.37% 329.64%

Based on: 10-K (filing date: 2020-03-20), 10-K (filing date: 2019-03-28), 10-K (filing date: 2018-03-30), 10-K (filing date: 2017-03-31), 10-K (filing date: 2016-03-30), 10-K (filing date: 2015-04-01).

1 MVA. See details »

2 Invested capital. See details »

3 2020 Calculation
MVA spread ratio = 100 × MVA ÷ Invested capital
= 100 × 243,475 ÷ 167,329 = 145.51%

4 Click competitor name to see calculations.

Performance ratio Description The company
MVA spread ratio The ratio of MVA to invested capital. It measures the efficiency with which investors’ capital investment has translated into a franchise value and into an aggregate net present value premium. Walmart Inc.’s MVA spread ratio deteriorated from 2018 to 2019 but then improved from 2019 to 2020 exceeding 2018 level.

MVA Margin

Walmart Inc., MVA margin calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Jan 31, 2020 Jan 31, 2019 Jan 31, 2018 Jan 31, 2017 Jan 31, 2016 Jan 31, 2015
Selected Financial Data (US$ in millions)
Market value added (MVA)1 243,475  197,842  181,123  134,453  132,879  184,976 
Net sales 519,926  510,329  495,761  481,317  478,614  482,229 
Performance Ratio
MVA margin2 46.83% 38.77% 36.53% 27.93% 27.76% 38.36%
Benchmarks
MVA Margin, Competitors3
Amazon.com Inc. 330.22% 320.48% 371.04% 269.68% 240.92%
Costco Wholesale Corp. 77.31% 59.72% 45.97% 45.93% 48.16%
Dollar General Corp. 103.87% 91.58% 75.03% 59.47% 88.76% 87.86%
Home Depot Inc. 181.62% 195.15% 199.31% 182.97% 176.77% 166.72%
Lowe’s Cos. Inc. 68.98% 114.68% 91.69% 96.34% 101.33% 109.58%
Target Corp. 53.60% 37.31% 36.30% 27.36% 49.53% 51.77%
TJX Cos. Inc. 118.33% 150.58% 130.42% 136.36% 151.63% 147.57%

Based on: 10-K (filing date: 2020-03-20), 10-K (filing date: 2019-03-28), 10-K (filing date: 2018-03-30), 10-K (filing date: 2017-03-31), 10-K (filing date: 2016-03-30), 10-K (filing date: 2015-04-01).

1 MVA. See details »

2 2020 Calculation
MVA margin = 100 × MVA ÷ Net sales
= 100 × 243,475 ÷ 519,926 = 46.83%

3 Click competitor name to see calculations.

Performance ratio Description The company
MVA margin The ratio of MVA to sales. It measures how efficiently and prodigiously sales translate into franchise value. Walmart Inc.’s MVA margin ratio improved from 2018 to 2019 and from 2019 to 2020.