Walmart: Leading the AI Revolution with Impressive Stock Growth
Meet the AI Disruptor: Walmart Unleashing AI Potential
This company has been a leading adopter of AI for years and is now marketing its AI software. What's the fuel driving the current bull market? One answer stands out as arguably the best: artificial intelligence (AI). Without the ongoing surge in AI adoption, the stock market almost certainly wouldn't be up nearly as much as it is.
All of them have close connections with AI. But not every mega-cap stock benefiting tremendously from the AI boom is in the group. Meet a $496 billion AI stock that's not in the Magnificent Seven.
More of an AI stock than meets the eye
You might be surprised which stock I have in mind. It's Walmart (NYSE: WMT). Some could immediately object that the giant retailer isn't an AI stock. However, it's more of one than meets the eye.
- Walmart has invested in AI development for years.
- It deployed AI to help manage its supply chain.
- Walmart has harnessed the power of generative AI to assist customers.
- The company incorporated natural language understanding AI into its customer service chatbots.
- Walmart is selling its AI route optimization technology to other businesses.
Although Walmart isn't a member of the Magnificent Seven, it's magnificent in multiple ways. Just look at the company's financials. Walmart generated revenue of $648 billion last year, more than any of the Magnificent Seven stocks.
- Walmart's profit margins aren't as impressive as those mega-cap growth stocks.
- The retailer's shares have soared more than 30% over the past 12 months.
- Walmart's valuation looks more attractive than five of the Magnificent Seven stocks based on one widely used metric.
Walmart's valuation could limit the stock's near-term growth prospects, but the company's strong financial position and AI integration suggest long-term potential.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.