Walmart hits $1 trillion valuation as stock soars to record highs ahead of earnings
Walmart will release its fiscal fourth-quarter and full-year earnings on February 19. The retail giant has seen its stock climb to record levels, pushing its market value past $1 trillion. This milestone makes it only the 12th company globally to achieve such an apple. Walmart's market capitalisation has grown steadily since 2021, rising from around $336 billion to roughly $650 billion by early 2026. While this increase is significant, it remains smaller compared to the surges seen by tech leaders like Apple, Microsoft, and Nvidia. Since 2019, just a handful of firms—including Apple, Microsoft, Alphabet, Amazon, Nvidia, Meta, Tesla, and Broadcom—have crossed the $1 trillion threshold. The company's recent success stems from its strategy to attract a wider customer base, including higher-income shoppers. This shift has helped drive stock gains of nearly 29% over the past 12 months and roughly 20% since the start of the year, reaching an all-time high. Despite this momentum, analysts warn that the stock is currently overvalued, trading at 45 times earnings. Investors may hesitate to buy in at these levels, especially with the risk of a post-earnings dip. Even if the report meets or exceeds expectations, profit-taking could push the share price lower. Walmart's earnings announcement arrives as its stock trades near peak levels. The high valuation and recent gains may lead some investors to wait before making new purchases. Any pullback after the report could reflect profit-taking rather than weak performance.
