WALMART'S EARNINGS SHINE AS IT PREPS $2.3 BILLION VIZIO ACQUISITION

Walmart kicked off U.S. retailers' reporting season on Tuesday with robust fourth quarter results after inflation-squeezed shoppers flocked to its stores, and said it would buy smart-TV maker Vizio for $2.3 billion. Shares in the retail giant rose 6% to a record high of $180.31 in early trading after it also gave an upbeat annual sales forecast and announced a 9% rise in its dividend, the biggest increase in more than a decade.

Walmart's bigger focus on groceries than rivals such as Target has provided a bulwark against the broad slowdown in discretionary spending. It is attracting more customers, even from higher-income households, by keeping grocery prices low as its size gives it negotiating power over suppliers, analysts say. The company said it offered significantly more price cuts on food products at its U.S. stores during the fourth quarter, even after big cuts in the third quarter. In some categories like apparel and hard goods, prices are lower than a year ago and even two years ago.

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