README

Walmart Inc. (NYSE: WMT) Valuation

ITAM Thesis Project Professor: Rodrigo Fenton Ontanon Final submission (Phase 3): April 21, 2026

Objective

Build a complete Investment Memorandum for Walmart with a reproducible pipeline in R + LaTeX.

Current Model Status

Preliminary pipeline operational with 6 methodologies:

1. DCF
2. RIM
3. Multiples (P/E, EV/EBITDA, EV/Sales)
4. SOTP
5. DDM
6. BSM (optional/robustness)

Integrated output:

• Football field (data/processed/preliminary_football_field.pdf)
• Range table (data/processed/preliminary_football_field_values.csv)
• Chart package (data/processed/preliminary_valuation_charts.pdf)
• Wired LaTeX document (MOI/main.tex)

Quickstart (3 commands)

From the repo root:

cp config/assumptions.example.csv config/assumptions.csv
cp config/latest_period_basis.example.csv config/latest_period_basis.csv
make all
open MOI/main.pdf

Notes:

• shares_outstanding can be left empty in preliminary; this only affects implied_price_usd.
• If config/assumptions.csv does not exist, the model runs with defaults.

Main Commands

make validate   # validates preliminary input + assumptions
make valuation  # runs 02..07 + 99
make charts     # generates chart PDFs
make tables     # generates auto-generated .tex tables for MOI/main.tex
make moi        # compiles MOI/main.tex
make all        # full pipeline

Technical Flow

1. Code/00_Validate_Inputs.R Verifies structure of raw preliminary data and assumptions.
2. Code/02_DCF.R
3. Code/03_RIM.R
4. Code/04_Multiples.R (diagnostics + implied prices by peer multiples)
5. Code/05_SOTP.R
6. Code/06_DDM.R
7. Code/07_BSM.R
8. Code/99_Football_Field.R
9. Code/98_Preliminary_Charts.R
10. Code/97_Generate_Tex_Tables.R (auto-generates table for LaTeX)

Inputs and Data Contract

• Current preliminary input:
  • data/preliminary-data/WALMART_FM/wmt_prelim_financials_fy2015_2025.csv
  • Convention: wmt_prelim_financials_<cutoff>.csv
  • Legacy compatibility: the pipeline still recognizes Raw-Tabla 1.csv if it exists.
• Detailed contract:
  • data/README.md
• Assumptions template:
  • config/assumptions.example.csv

Key Outputs in data/processed

• validation_report.txt
• preliminary_master_financials.csv
• preliminary_data_basis.csv
• preliminary_dcf_summary.csv
• preliminary_rim_summary.csv
• preliminary_multiples_summary.csv
• preliminary_peer_comp_set_used.csv
• preliminary_sotp_summary.csv
• preliminary_ddm_summary.csv
• preliminary_bsm_summary.csv
• preliminary_football_field_values.csv
• preliminary_football_field.pdf
• preliminary_valuation_charts.pdf

LaTeX Integration

• Main document: MOI/main.tex
• Auto-generated valuation table: MOI/generated/preliminary_valuation_table.tex
• MOI/Makefile runs auto-generation before compiling PDF.

Refresh After Earnings / Bloomberg

When you have new data points:

1. Replace the preliminary input (or add a new cutoff in data/preliminary-data/).
2. Update config/assumptions.csv (WACC, beta, rates, shares).
3. Adjust config/latest_period_basis.csv:
   • Before annual close: latest_period_mode=ltm (or auto with target_fiscal_year=2026).
   • After FY 2026 publication: latest_period_mode=fy_actual and target_fiscal_year=2026.
4. Run make all.
5. Review changes in:
   • data/processed/preliminary_data_basis.csv
   • data/processed/preliminary_football_field_values.csv
   • MOI/main.pdf