Walmart

A Retail Behemoth?

Abstract

Walmart has cemented itself as the world's largest retailer, with over 10,500 stores globally and a particular dominance within the US market. Its three main business divisions include Walmart US, Walmart International and Sam's Club which focus on grocery, general merchandise and bulk purchases. In recent times, Walmart has seemed to outperform its competitors and has been actively working on expanding its e-commerce and marketplace services. Despite all these merits, I also foresee potential challenges in the form of the erosion of margins, economic slowdowns and increased competition which could jeopardise profitability. However, I still believe that the benefits outweigh the downsides and the stock is also up 50% this year showcasing investor confidence in the company. Therefore, Walmart is most definitely a solid portfolio addition for long-term investors as it offers both defensiveness coupled with extreme growth potential.