Wal-Mart could add shoppers and investors-Barron's

NEW YORK, Oct 21 (Reuters) - Wal-Mart Stores Inc (WMT.N), whose stock has fallen 23 percent during the past five years, could attract middle-class shoppers with its recent price cuts, according to an article in Barron's.

In its Oct. 22 edition, Barron's said the company has been hurt by slowing sales, strategic missteps and customers' tightening purse strings.

However, efforts to improve margins and cash flow are starting to show early signs of success and the company recently raised profit projections for the third quarter because of lower expenses, Barron's said.

Investors expect the company to aggressively cut prices on consumer electronics, following this month's cuts on some toys, Barron's said. Additionally, Wal-Mart's first stores in India could enter the market next year under a joint venture with Bharti Enterprises, Barron's said.

Bearish investors say the company needs to do more to curb capital spending and boost free cash flow, Barron's said.