Walmart Stock Hits Record High as Market Value Tops $1 Trillion
The stock rose as much as 1.6% in New York trading, hitting an intraday record of $126 per share. The shares are up 12% this year, significantly outperforming the S&P 500 Index, which has gained 1.9%.
The Bentonville, Arkansas-based retailer has leveraged its massive scale and supplier network to keep prices low, helping it gain market share across income levels. While Walmart has long appealed to value-conscious households, its expanding online business is attracting wealthier consumers seeking convenience.
Market participants point to Walmart’s ongoing digital transformation as a major driver of the stock’s performance. The company has shifted from being viewed primarily as a brick-and-mortar retailer to one that increasingly relies on technology to boost customer engagement.
Recent investments in artificial intelligence have further supported the rally. Walmart has been integrating AI across its operations, using the technology to improve tasks such as scheduling and supply-chain management.
Earlier this year, the retailer announced a partnership with Alphabet Inc. to deliver AI-powered shopping through Google’s Gemini platform. It has also teamed up with OpenAI, allowing customers to browse and purchase products directly through ChatGPT. Walmart was added to the Nasdaq 100 Index last month, highlighting investor interest in its technology strategy.
Walmart is the largest company in the S&P 500 Consumer Staples Index by market value, ahead of Costco Wholesale Corp., Procter & Gamble Co., and Coca-Cola Co. It is now one of the few non-technology companies valued at $1 trillion or more, alongside Berkshire Hathaway Inc. and Saudi Aramco.
The company began as a single store in 1962 and went on to overtake rivals such as Kmart and Sears. After struggling with e-commerce expansion in the early 2000s, Walmart built a strong digital platform that includes delivery, membership services, and advertising operations, all of which are contributing to profit growth.
Walmart now sells a wide range of products online, from collectible trading cards to pre-owned luxury items, while improving delivery speeds. Leadership changes are also underway, with John Furner taking over as chief executive on Feb. 1, tasked with continuing the company’s momentum and overseeing its AI adoption.
Competition remains intense as Amazon.com Inc., Aldi Inc., and others focus on low prices, while Target Corp. works to recover from a prolonged slump by improving store experiences and merchandise selection.
Analysts remain largely optimistic. Walmart has 47 buy-equivalent ratings, compared with three holds and one sell, according to Bloomberg data. However, some investors question how much upside remains, as the company’s average 12-month price target of $124.37 is close to recent trading levels.
The stock trades at just over 42 times forward earnings, near an all-time high. Concerns eased somewhat after Walmart raised full-year sales and profit guidance in November following stronger-than-expected third-quarter results. The company is scheduled to report fourth-quarter earnings on February 19.
Jefferies analyst Corey Tarlowe said conservative guidance has created room for further upside, noting that Walmart is expected to continue investing in price to gain market share in 2026.
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