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Halftime: Is Walmart No Longer A Retail Wizard?

In the wake of multiple downgrades, has Walmart lost its luster?

JPMorgan Chase has downgraded Walmart , making it the third firm to take down the retail giant this month. In taking the retail giant to 'neutral' to 'overweight,' JPMorgan said Walmart is likely to face increasing competitive pressures and tough sales comps, which could keep its stock range bound.

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Walmart's same-store sales are deteriorating the U.S., while it faces heightened competition from grocers and dollar stores, said analyst Charles Grom. Its traffic problem remains elusive and it doesn't seem there's much it can do to change that, Grom explained. Some critics have suggested Walmart halt international expansions to shore up free cash flow, but Grom doesn't think that would work given 80 percent of its business come from the U.S.

"Given that that business is struggling, you know we've been big advocates that they should really be trying to fix the mothership before trying to expand internationally," Grom explained.

Watch the video to see the full conversation and trades from the "Fast Money" traders.

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POPS & DROPS

Stocks trimmed losses as energy and materials stocks gained amid a session lacking much economic news and following a second straight week of solid gains. The "Fast Money" traders, though, found these market movers worth mentioning on the broadcast.

Pops (stocks that went higher)

Compass Minerals International (CMP) popped 1.43%: The mineral producer saw shares rise after raising its dividend by 15 percent. Being as it's a fertilizer company, Steve Grasso of Stuart Frankel thinks its stock could be bought.

Walter Energy (WLT) popped 6.5%: The coal producer rises in front of Tuesday's earnings announcement. Shanghai is driving this stock, said optionMONSTER.com's Pete Najarian.

Drops (stocks that went lower)

MGM Resorts (MGM) dropped 3.7%: The casino company drops on declining revenue and lower profits per room. It's having to discount too much in Las Vegas, complained Veracruz founder Steve Cortes. He's not a fan of MGM.

EnerNoc (ENOC) drops 0.25%: There are some concerns over whether this company has been double-billing, said RiverTwice Research's Zachary Karabell. He's long ENOC, but covering himself on the downside.

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CALL THE CLOSE

The "Fast Money" traders revealed where they think the market could go and how they plan to play it.

European bonds are under stress, noted Cortes. He plans to watch Europe overnight.

Karabell thinks the market could push higher. Being as the financials are trading well, Najarian also thinks the market could go up.

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Trader disclosure: On Feb. 14, 2011, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s "Fast Money" were owned by the "Fast Money" traders; Pete Najarian owns (F) bonds and calls. Pete Najarian owns (GM). Pete Najarian owns (V) call spreads. Pete Najarian owns (YHOO) and (YHOO) calls. Pete Najarian owns (MS). Pete Najarian owns (JPM) call spreads. Pete Najarian owns (C). Pete Najarian owns (BAC) call spreads. Pete Najarian owns (GE). Pete Najarian owns (MU). Pete Najarian owns (AKAM). Pete Najarian owns (PEP). Pete Najarian owns (TCK). Pete Najarian owns (CLF). Pete Najarian owns (CNI). Grasso owns (ASTM), (BA), (BAC), (BWC), (C), (CSCO), (JPM), (LIT), (LPX), (MT), (MHY), (NDAQ), (PFE), (PRST) and (S). Zachary Karabell owns (C), (RIMM), (FCX), (FXI), (GE), (AOL), (AAPL) and (GOOG). Steve Cortes owns (CLX), (SWY), (SVU), (K) and (CME). Steve Cortes owns German Bonds. Steve Cortes is short (LVS). Steve Cortes is short (CBOE). Steve Cortes is short (XLE) vs. S&P. Steve Cortes is short British Pound. Steve Cortes is short Australian Dollar.

Comcast is the parent company of NBCUniversal
GE owns 49% of NBCUniversal
GE owns 49% of CNBC

STEVE GRASSO
Stuart Frankel & Co and its partners own (ABX)
Stuart Frankel & Co and its partners own (ABT)
Stuart Frankel & Co and its partners own (AMGN)
Stuart Frankel & Co and its partners own (CSCO)
Stuart Frankel & Co and its partners own (CUBA)
Stuart Frankel & Co and its partners own (GERN)
Stuart Frankel & Co and its partners own (HSPO)
Stuart Frankel & Co and its partners own (NWS.A)
Stuart Frankel & Co and its partners own (NYX)
Stuart Frankel & Co and its partners own (PFE)
Stuart Frankel & Co and its partners own (PRST)
Stuart Frankel & Co and its partners own (SDS)
Stuart Frankel & Co and its partners own (XRX)
Stuart Frankel & Co and its partners own (SDS)
Stuart Frankel & Co and its partners are short (QQQQ)
Stuart Frankel & Co and its partners are short (AAPL)
Stuart Frankel & Co and its partners are short (TIF)

ZACHARY KARABELL
River Twice Capital and Karabell own (CSCO)
River Twice Capital and Karabell own (IBM)
River Twice Capital and Karabell own (GS)
River Twice Capital and Karabell own (BRCM)
River Twice Capital owns (MSFT)
River Twice Capital owns (QCOM)
River Twice Capital is short (SPY)
River Twice Capital is short (XLF)
River Twice Capital is short (XLI)
River Twice Capital is short (AA)
River Twice Capital is short (S)
River Twice Capital is short (SMH)
River Twice Capital is short (MA)

CHARLES GROM
J.P. Morgan Was Lead Or Co-Manager In Public Offering Of Equity And/Or Debt Securities For (WMT) In Past 12 Months
(WMT) Is Or In Past 12 Mos. Was A Client Of J.P. Morgan (Investment Banking Services, Non-Investment Banking Securities-Related Service, Non-Securities-Related Services)
J.P. Morgan Received Investment Banking Compensation From (WMT) In Past 12 Months
J.P. Morgan Expects To Receive/Seek Investment Banking Compensation From (WMT) In Next 3 Months
JPMS And Affiliate Have Received Non-Investment Banking Comepnsation From (WMT) In Past 12 Months

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