Bentonville, Arkansas-based Walmart Inc. (WMT) is a multinational retail corporation and one of the largest companies in the world by revenue and scale. With a market cap of $980.3 billion, it serves approximately 270 million customers and members weekly and employs about 2.1 million people worldwide.
Companies valued at more than $200 billion are generally considered “mega-cap” stocks, and Walmart fits this criterion perfectly. Founded in 1962, Walmart operates a global network of over 10,750 retail locations across 19 countries in formats that include supercenters, discount stores, neighborhood markets, and warehouse clubs under the Sam’s Club banner, as well as a substantial e-commerce presence.
Shares of the company have decreased 6.6% from its 52-week high of $134.69 met recently on Feb. 17. Over the past three months, its shares have surged 19.5%, outshining the SPDR S&P Retail ETF (XRT), which has gained about 8.6% over the same time frame.
Longer term, WMT stock is up 15.2% on a YTD basis, outpacing XRT’s 1.8% rise. However, shares of the retail giant have returned 15.1% over the past 52 weeks, compared to XRT’s 15.3% rise over the same time frame.
Despite a few fluctuations, the stock has been in a bullish trend, consistently trading above its 50-day moving average since 200-day moving averages since early April.
Walmart shares dipped about 1.4% on Feb. 19 following the release of its Q4 results. It posted solid top-line growth with revenue rising 5.6% year over year to roughly $190.7 billion, driven by resilient grocery demand, 24% e-commerce growth, and continued market-share gains among higher-income households. Operating income increased 10.8% as margins improved, though net income declined due to investment losses. Despite the strong holiday-quarter execution, investor sentiment was tempered by management’s cautious outlook for the year ahead amid macro and consumer-spending uncertainty.
Additionally, WMT stock has outpaced its rival, Costco Wholesale Corporation (COST). COST stock has soared 14.3% YTD and has dipped 4.7% over the past 52 weeks.
Analysts remain bullish about its prospects. The stock has a consensus rating of “Strong Buy” from 38 analysts in coverage, and the mean price target of $137.11 is a premium of 9% to current levels.
