The newest member of the trillion-dollar market club is no surprise. Walmart (NASDAQ: WMT) Become a part of this hallowed institution last week, joining a select cadre of mostly tech stocks. But it does it in a more traditional way – as a leading retail chain that continues to improve.
Although the company recently switched from the New York Stock Exchange (NYSE) to Nasdaq to showcase its tech prowess, the company still has a traditional retail model, and it’s the only Dividend King to make it into this exclusive club.
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Here’s why Walmart remains so strong after all these years, and why it should continue.
While Walmart is a discount retailer, part of its recent growth can be attributed to expanding into a broader customer base. It does this in a number of ways, starting with building a great e-commerce platform. In the third quarter of fiscal 2026 (as of October 31), e-commerce sales increased by 27% year-on-year, driving total revenue to increase by 5.8%.
Walmart has an advantage Amazon At least in part, this is its base of 4,700 stores and also serves as a distribution center. It can quickly ship orders from stores and has also attracted customers who prefer digital orders for pickup in stores, especially in markets where Amazon doesn’t yet offer same-day delivery.
It also continues to change, and in some cases upgrade, its offerings to appeal to a wider customer base, including more affluent customers. The company recently launched a line of more premium health brands and is reaching this customer base through its website because these customers might not come into its brick-and-mortar stores.
Walmart’s advantage lies not only in its use of stores as distribution centers but also in its overall size. 90% of the U.S. population has a Walmart within 10 miles, and that’s just its U.S. presence; it has more than 10,800 stores worldwide, giving it plenty of room to grow in many markets. Despite its size, it continues to find white space in the United States for expansion.
The company received high praise from investors last year for its ability to withstand tariffs. It has many levers at its disposal to cut costs and has leverage over suppliers. The simple fact that it’s also a necessity business means customers will always need its products. Because it’s a discount retailer, it’s more resilient in times of economic stress.
