Walmart has become the first traditional retailer to achieve a market valuation of $1 trln, placing the U.S. retail giant among a select group largely made up of technology companies.
The milestone highlights the rapid expansion of Walmart’s e-commerce business and its ability to attract price-sensitive shoppers during a period of easing job growth and persistent inflation. Investors have also welcomed the company’s growing focus on artificial intelligence.
Walmart now joins firms such as Nvidia and Alphabet in the $1 trln valuation club. Its shares climbed more than 3% on February 3, extending a strong rally in recent months.
As the largest bricks-and-mortar retailer in the U.S., Walmart has benefited from higher-income consumers shifting towards lower-priced goods. Fast home delivery has further broadened its appeal across different income groups.
The company reported solid sales growth in its latest earnings update in November, with strong performance in core categories including groceries and apparel.
«Walmart is better insulated than just about anybody given the value proposition we have,» chief financial officer John David Rainey said at the time.
Executives have also said the impact of tariffs introduced under U.S. President Donald Trump has been less severe than initially feared. While import duties have lifted prices for some products, including electronics and toys, Walmart’s scale has helped it absorb the costs more effectively than smaller competitors.
Rivalry with Amazon
Walmart’s expanding online operations have turned it into a stronger rival to Amazon. In the three months to October 31, U.S. e-commerce sales surged 28%, driven by online shopping and advertising revenue.
Even so, Amazon’s market value remains far higher at about $2.6tn.
Investor enthusiasm has been further fuelled by Walmart’s push into AI. The company reached the $1 trln valuation threshold during the first week in office of chief executive John Furner, a strong supporter of its AI strategy.
In October, Walmart announced a partnership with OpenAI, saying the technology would allow customers and Sam’s Club members to plan meals, restock essentials and discover products through conversational tools.
The retailer’s decision late last year to shift its stock listing from the New York Stock Exchange to the Nasdaq also underlined its ambition to be seen as a digital-first business.
Walmart is the first traditional retailer to reach a $1 trln market capitalisation. The milestone remains rare outside the technology sector, although Berkshire Hathaway crossed the threshold in 2024. Drugmaker Eli Lilly also briefly exceeded $1 trln late last year before slipping back below the mark.
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