Home / Business and Economy / Walmart Stock Outperforms S&P 500: A 5-Year Look
Walmart Stock Outperforms S&P 500: A 5-Year Look
1 Dec
Summary
- Walmart stock gained 117.3% over five years, beating the S&P 500.
- The company is a Dividend King, increasing payouts for 52 years.
- Walmart U.S. saw a 4.5% comparable store sales increase last quarter.
Over the last five years, Walmart's stock has demonstrated a strong performance, yielding a total return of 131.4%, which surpassed the S&P 500's 101.6% return. This growth includes a substantial 117.3% stock price increase, easily outpacing the index's 87.5% gain. A key factor in this success is Walmart's consistent commitment to shareholders, evidenced by 52 consecutive years of dividend increases, solidifying its status as a Dividend King.
The company's business model, focused on offering ultra-low prices, continues to provide a competitive advantage, especially in challenging economic times. Walmart U.S., its primary division, reported a robust 4.5% increase in comparable store sales for the fiscal third quarter. This growth was driven by higher customer traffic across various income demographics and increased spending.
Walmart is also actively investing in its future to maintain its edge. Significant capital expenditures are directed towards enhancing the supply chain, improving the customer shopping experience, and adopting new technologies. This forward-thinking approach, combined with solid business execution, positions Walmart favorably for continued strong financial results and robust stock market performance in the long term.
