Zaid

I'll be honest with you guys, I subscribe to Walmart Plus and I get my groceries delivered from them weekly.

They're not paying me to say this, but if someone from Walmart is listening, my DMs are open.

So yeah, all that investment that Walmart made over the last decade in their e-commerce business and technology and improving their supply chain, it's all starting to pay off.

During Doug McMillan's tenure as CEO, e-commerce sales went from about $10 billion in 2014 to over $150 billion in 2025.

And that's not the only impressive stuff about Walmart's business.

So let's dive into the numbers.

Walmart stock has outperformed the S&P 500 and other major retailers over the past year.

And what's impressive is this is happening during a bull market driven by AI hype and semiconductors and data centers.

Yet it's Walmart catching the attention of investors trading at historically high valuations.

So let's take a closer look at their business and why that might be happening.

The company just reported their earnings and in 2025, revenue was up 4.7% to $713 billion.

E-commerce was the bright spot.

It grew by 23% in Q4 globally and 27% here in the US.

In fact, it was the eighth consecutive quarter of e-commerce growth above 20%.

And here's the detail that really jumped out to me.

35% of store fulfilled orders were delivered in under three hours.

In fact, the US customers using the fast delivery option, which is deliveries under three hours or less, grew by more than 60% in a year.

I mean, that's the competitive advantage that Walmart has of being within 10 miles of 90% of the US population.

And the other benefit from offering fast deliveries is that Walmart has attracted wealthier shoppers who prioritize convenience.

But I think what's really caught investors' attention is Walmart's margin expansion.