Walmart Stock Hits All-Time High Amid Nasdaq-100 Inclusion

Walmart Inc (NASDAQ:WMT) shares are up on Tuesday following the announcement that the company will join the Nasdaq-100 index. Here’s what investors need to know after the stock hits a new all-time.

• Walmart stock is challenging resistance. What’s driving WMT to record levels?

Walmart’s Nasdaq Inclusion Signals Market Shift

Walmart will officially become a component of the Nasdaq-100 Index, the Nasdaq-100 Equal Weighted Index and the Nasdaq-100 Ex-Tech Sector Index prior to the market open on Jan. 20. This change will replace AstraZeneca PLC in the Nasdaq-100 Index, highlighting Walmart’s growing prominence in the market.

Additionally, Walmart announced a partnership with Google this week to enhance its online shopping experience by integrating Google’s Gemini AI. This collaboration will allow users to discover Walmart and Sam’s Club products through personalized recommendations and fast delivery options, including local deliveries in under three hours.

The broader market is experiencing mixed performance Tuesday morning, with the Russell 2000 up 0.16% while the Nasdaq is down 0.43%. Walmart’s stock is moving higher despite the broader market’s struggles, suggesting that the company’s news is driving its performance independently of market trends.

Also Read: Amazon Proposes First Big-Box Retail Store In Orland Park

Technical Indicators Driving The Stock

Walmart is currently trading 4.9% above its 20-day simple moving average (SMA) and 12.5% above its 100-day SMA, indicating strong short-term momentum. Over the past 12 months, shares have increased by approximately 30.39% and are positioned closer to their 52-week highs than lows.

The RSI is at 66.83, which is considered neutral territory, suggesting that the stock is neither overbought nor oversold. Meanwhile, the MACD is above its signal line, indicating bullish momentum.

The combination of a neutral RSI and bullish MACD suggests mixed momentum, providing traders with a cautious outlook.

• Key Support: $110.50

Key Earnings Indicators That Investors Should Watch

Investors are looking ahead to the next earnings report on February 19.

• EPS Estimate: 72 cents (Up from 66 cents YoY)
• Revenue Estimate: $189.18 billion (Up from $180.55 billion YoY)
• Valuation: P/E of 41.2x (Indicates premium valuation)

Analyst Consensus & Recent Actions: The stock carries a Buy Rating with an average price target of $123.88. Recent analyst moves include:

• Barclays: Overweight (Raised Target to $125.00)
• Oppenheimer: Outperform (Raised Target to $125.00)
• Mizuho: Outperform (Raised Target to $125.00)

Valuation Insight: While the stock trades at a premium P/E multiple, the strong consensus and 9% expected earnings growth suggest analysts view this growth as justification for the 4% upside to analyst targets.

Benzinga Edge Rankings

Below is the Benzinga Edge scorecard for Walmart, highlighting its strengths and weaknesses compared to the broader market:

• Momentum: Bullish (Score: 77.9/100) — Stock is outperforming the broader market.
• Quality: Strong (Score: 93.35/100) — Balance sheet remains healthy.
• Value: Risk (Score: 44.46/100) — Trading at a steep premium relative to peers.

The Verdict: Walmart’s Benzinga Edge signal reveals a strong quality rating, indicating a solid financial position. However, the relatively low value score suggests that the stock may be trading at a premium, which could pose risks for new investors.

Top ETF Exposure

• iShares U.S. Consumer Discretionary ETF (NYSE:IYC): 4.65% Weight
• Motley Fool Capital Efficiency 100 Index ETF (NYSE:TMFE): 5.31% Weight
• Simplify Next Intangible Core Index ETF (NASDAQ:NXTI): 5.35% Weight

Significance: Because WMT carries such a heavy weight in these funds, any significant inflows or outflows for these ETFs will likely force automatic buying or selling of the stock.

Price Action

WMT Price Action: Walmart shares were up 1.63% at $119.89 at the time of publication on Tuesday, according to Benzinga Pro data.

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