The Stock Market Is Historically Pricey: Here's 1 Reason You Can Trust Walmart to Deliver

Key Points

• The retail sector giant has an amazing track record in this one financial metric alone.

• That's also matched by its size, and its habit of booking a profit time after time.

• 10 stocks we like better than Walmart ›

No, it's not your imagination. Stocks are expensive these days. Factors such as the continued rise in the U.S. economy, thin interest rates, and the ease of owning equities have driven the market ever skyward, for the most part.

So it pays to be choosy, and it especially pays to select only the finest stocks that can stand the test of time. One of these beauties, in my opinion, is Walmart (NYSE: WMT). Read on for my No. 1 reason for being bullish on this company.

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Now, that's a winning streak

Of the many impressive feats Walmart management has accomplished, for me the most spectacular is the retailer's near-unbelievable track record in growing revenue. Since it went public in 1970, with a mere one exception (2015), the company has upped its top line every single year, topping out at nearly $681 billion in fiscal 2024.

How did it get the job done? There are many chapters in Walmart's success story, but boil it down to two simple elements -- effective, low-margin pricing that attracted masses of customers, and aggressive footprint expansion. At the end of fiscal 1980 it operated 276 stores in the U.S. only.

Fast-forward to July 2025, and that total had ballooned to 10,797 (including 600 of its Sam's Club outlets). And more than half of that total consisted of international locations.

Great expectations

Walmart doesn't only deliver near-perfect annual revenue growth; it's very adept at squeezing out healthy profits despite those skinny margins (thanks to clever efficiency measures that help manage the sprawl). Since 2021, headline net income has ranged from $11.7 billion to last year's $19.4 billion. Those sorts of numbers are higher than many companies' total revenue in a year.

Analysts tracking the stock are fully expecting that top-line growth streak to continue. On average, they're modeling a 4% improvement this fiscal year to $701.7 billion, with a further 5% rise in 2026 to $736.5 billion.

Should you invest $1,000 in Walmart right now?

Before you buy stock in Walmart, consider this:

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Eric Volkman has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Walmart. The Motley Fool has a disclosure policy.