The bulk .22LR ammo sold at Wally world will never do any better than what you have already achieved. Try using CCI standard velocity or if you are feeling rich buy a box of CCI green tag.
I own A Ruger MkIII, Hammerli Trailside, Browning Buckmark and S&W Model 22A. The Ruger and the Hammerli are both outstanding for accuracy, followed by the S&W and the Browning. I realize this is a little late for the question asked but it might help someone.
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