Walmart has surged into the exclusive "$1 trillion club" tonight, marking a historic milestone for the U.S. stock market.
On the evening of February 3, a rise in Walmart's stock price propelled its market capitalization above $1 trillion for the first time, elevating the world's largest retailer into a league typically dominated by major technology giants like Nvidia and Alphabet.
The stock climbed over 1%, hitting a new all-time high of $126 per share during the session and pushing the company's market value to just over $1 trillion. Year-to-date, Walmart's stock has accumulated a gain of 12%, outperforming the S&P 500 index's 1.9% increase over the same period.
Walmart has long been a favorite for bargain-hunting consumers—leveraging its massive scale and supplier network to consistently drive down prices and compete for, as well as expand, its market share across various income demographics. While maintaining its appeal to budget-conscious families, its online products and services are also attracting new, higher-income customers who prioritize convenience.
Analysts noted, "Over the past few years, Walmart has undergone a massive digital transformation. They are no longer just a traditional brick-and-mortar retailer but are shifting towards using technology to drive higher user engagement."
Recent investments in artificial intelligence have further fueled the stock's ascent. Walmart is pushing for a broader integration of AI into its operational systems and has already utilized the technology to accelerate numerous tasks, from staff scheduling to supply chain management.
Earlier this year, Walmart announced a partnership with Alphabet to offer an "AI-enhanced shopping" experience on Google's Gemini platform; more recently, it collaborated with OpenAI to enable consumers to browse and purchase Walmart goods directly through ChatGPT. The company's inclusion in the Nasdaq 100 Index last month further underscores investor enthusiasm for its technological initiatives.
By market capitalization, Walmart is the largest company in the S&P 500's "Consumer Staples" sector, followed by Costco, Procter & Gamble, and Coca-Cola. It has also become one of the few non-technology companies to reach or exceed a $1 trillion market cap, a group that also includes Berkshire Hathaway and Saudi Aramco.
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