Walmart Inc. (NYSE:WMT) remains one of the most influential companies in the global retail landscape. In 2025, the company continues to demonstrate remarkable resilience, consistent revenue growth, and strong competitive positioning. This article explores Walmart stock performance, how WMT compares to the broader Consumer Defensive sector, and why analysts remain bullish heading into 2026.
Walmart’s Dominant Position in the Retail Market
As one of the world’s largest retailers, Walmart boasts a market cap of approximately $829.7 billion. The company operates a diversified business model across three main segments: Walmart U.S., Walmart International, and Sam’s Club. These units span retail stores, wholesale clubs, eCommerce sites, digital payment solutions, and a rapidly expanding advertising business.
Its everyday low price (EDLP) strategy continues to attract cost-conscious consumers, particularly in times of rising living costs and economic uncertainty. The seamless integration between its physical footprint and digital platforms forms the backbone of the company’s omnichannel advantage — a core component supporting long-term Walmart stock performance.
Walmart’s scale gives it purchasing power unmatched by most retailers, enabling the company to maintain low prices without eroding profitability. This powerful competitive edge makes WMT a compelling mega-cap stock for investors seeking a blend of stability and moderate growth.
How Walmart Stock Performance Stands Out Against Its Sector
While markets have seen fluctuations over the past year, Walmart’s performance has remained exceptional. The stock is currently trading just over 5% below its 52-week high of $109.57, demonstrating resilience despite broader market volatility.
Over the past three months, Walmart shares have increased 7.5%. In comparison, the Consumer Staples Select Sector SPDR Fund (NYSEARCA:XLP) declined 6.6% over the same period — a stark contrast highlighting Walmart’s strength within the Consumer Defensive sector.
The longer-term numbers are equally impressive:
-
Year-to-date: WMT is up 15.2%, while XLP is down 2.1%
-
52 weeks: WMT has gained 15.1%, compared to XLP’s 5.9% drop
These metrics show that Walmart stock performance has not only beaten its sector but significantly outpaced it.
Several factors contribute to this outperformance:
-
Stronger-than-expected revenue growth
-
Effective cost management
-
Expansive digital presence
-
Market leadership in grocery and essential goods
-
Growth in high-margin categories like advertising
For investors seeking defensive exposure with growth potential, these data points reinforce Walmart’s appeal.
Technical Strength: A Long-Term Bullish Trend
Walmart has shown technical strength by consistently trading above its 200-day moving average for more than a year. This is a key indicator that long-term bullish momentum remains intact.
Even during periods of market volatility, WMT’s ability to maintain this upward trend speaks to strong investor confidence.
The trend became even more pronounced after the company’s Q3 2026 earnings, which acted as a major catalyst for Walmart stock performance.
Q3 2026 Earnings: A Major Boost for Walmart Stock Performance
On Nov. 20, Walmart reported strong Q3 results, prompting a 6.5% jump in share price. The company continues to excel across nearly all operational categories:
Key Highlights from Q3 2026:
-
Revenue: Up 5.8% to $179.5 billion
-
Adjusted EPS: Up 6.9% to $0.62
-
Global eCommerce sales: Up 27%
-
Advertising revenue: Up 53%
-
U.S. comparable sales: Up 4.5%
-
International sales: Up 10.8%
The company’s global digital sales and advertising divisions stand out as major contributors to margin expansion. These high-growth segments are becoming increasingly important in Walmart’s long-term strategy, supporting continued Walmart stock performance as customer behavior shifts online.
The results also highlight impressive consumer engagement, reflecting strong demand for Walmart’s value-based offerings as shoppers seek affordability without sacrificing convenience.
Raised Fiscal 2026 Guidance Strengthens Outlook
Beyond earnings, Walmart raised its fiscal 2026 guidance, further boosting investor sentiment. The company now expects:
-
Net sales growth: 4.8% – 5.1%
-
Adjusted EPS: $2.58 – $2.63
This upward revision signals confidence from management in the company’s ongoing momentum and efficiency initiatives.
For shareholders, improved guidance is a clear indicator of continued strong Walmart stock performance heading into 2026. The company’s visibility into future growth allows investors to maintain trust in Walmart’s strategy even during uncertain macroeconomic periods.
Walmart vs. Its Competitor: Costco
Comparing Walmart to one of its closest competitors, Costco Wholesale Corporation (NASDAQ:COST), further reinforces Walmart’s superior performance.
-
COST stock is down 3.3% year-to-date
-
COST is down 8.1% over the past 52 weeks
WMT’s ability to retain momentum while Costco declines underscores Walmart’s stronger position in the retail sector. Walmart’s broader geographic footprint, more flexible pricing model, and diversified revenue streams give it structural advantages over Costco.
Why Analysts Are Strongly Bullish on Walmart
Given its consistent outperformance, it’s no surprise that analysts are optimistic:
-
Consensus rating: Strong Buy
-
Number of analysts: 37
-
Mean price target: $118.46
-
Upside potential: About 13.8% from current levels
Analysts cite Walmart’s robust eCommerce growth, digital advertising expansion, and resilient retail model as key reasons behind the positive outlook. Many also view Walmart as an attractive defensive play for navigating inflation and higher interest rates.
With its combination of scale, innovation, and value-driven pricing, Walmart remains a standout choice in the Consumer Defensive sector.
Final Thoughts
As 2025 progresses, Walmart stock performance demonstrates extraordinary strength relative to its peers. With strong earnings, impressive digital growth, raised guidance, and sustained investor confidence, Walmart continues to outperform the Consumer Defensive sector — and shows no signs of slowing down.
Whether you’re a long-term investor seeking stability or someone looking for exposure to a defensive yet growth-oriented stock, Walmart remains a compelling choice for the foreseeable future.
Featured Image: Freepik
