Walmart is back in the spotlight, making a powerful comeback in the stock market. The retail giant’s stock is reminiscent of its impressive 600% surge in the late 90s, and it’s now on a trajectory that could see it break past its all-time high.
After a period of consolidation between 1999 and 2012, where prices ranged from $13 to $23, Walmart’s stock has soared by an impressive 230%. While this upward journey has been punctuated by volatility and periods of stagnation, testing the patience of investors, it reflects the cyclical nature of the stock market. Significant gains often follow periods of inactivity or even losses.
Early this year, a shift in market sentiment became evident. Walmart’s stock price crossed the 2023 high in February, reaching $56, signaling a change in investor confidence. This breakout spurred increased momentum, with fewer and smaller corrections.
The company’s recent earnings releases have further fueled the bullish momentum. In May, a strong earnings announcement led to a single-day surge of 7% in the stock price. Similarly, the August earnings release resulted in a 6% increase in stock value, and the stock has held onto this gain since then.
Walmart’s stock is now nearing its September 3 all-time high of $77. This year alone, it has climbed a remarkable 46%, setting its sights on the $100 mark. With current momentum and favorable market conditions, Walmart has the potential to continue its ascent, aiming for new highs beyond $100.
The stock closed at $77.34 on September 9, down by 0.91% after the closing bell. This latest dip, however, doesn’t detract from Walmart’s overall bullish trajectory. The company’s strong fundamentals, positive market sentiment, and impressive earnings performance paint a picture of continued growth and potential for significant gains in the near future.
