As the Dow Jones Industrial Average plummeted through 20,000 this week, one of its stocks is holding up against the selloff.
Walmart (NYSE: WMT), the world’s largest bricks-and-mortar retailer, has risen more than 13% in March as consumers stockpile amid the coronavirus crisis. The gain puts it on track for its best month since 2014. The Dow, meanwhile, is down more than 20% over the same period.
Said one analyst, “In 1929, during the Great Depression, we had a run on the bank. In the 2020 coronavirus, we have a run on the grocery store and Walmart has about 50% of the groceries sold throughout the country.”
Walmart generates more than two-thirds of its revenue from within the United States. Total sales are expected to climb by 3% in its April-ending quarter.
Walmart shares are up nearly 18% in the past week, while ETFs, which hold Walmart, has fallen 9% over the same stretch. The Arkansas-based retailer founded by Sam Walton began Thursday up $3.30, or 2.7%, to $125.34
Wednesday’s breakout to new highs has experts revising how high they sees Walmart coulod climb. One says the stock could scale to a new record of $140, implying 14% upside from current levels.