Where Will Walmart Stock Be in 5 Years?

(NYSE: WMT) investors have had an incredible run since the pandemic started roughly five years ago. The retailer's share prices have more than doubled since mid-June 2022, tripling the broader market's comparable performance. Shareholders also arguably endured relatively low risk holding a stock with a consumer staples focus, a massive global sales base, and a sturdy annual profit performance. Toss in reinvested dividends, and the total return from holding Walmart stock over the past five years was 125%.

Shares are valued at a bigger premium now, though. And there are new risks regarding an economic slowdown pinching the business. Yet Walmart still could deliver solid returns from here. Let's look at why this retail stock might beat the market again over the next several years.

Walmart is no longer just a retailer that uses its scale to deliver ultra-low prices to value-seeking shoppers. Sure, that core customer remains a big part of its growth. The chain posted a 5% comparable-store sales spike last year thanks to 3% higher customer traffic and a 2% uptick in average spending. "We have momentum driven by our low prices," CEO Doug McMillon told investors in late February.

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Source Fool.com