Is Wal-Mart Stock Ready for Competition?
T = Trends for a Stock’s Movement
Wal-Mart operates retail stores in various formats around the world. The company aims to price items at the lowest price every day. Wal-Mart operates in three business segments: the Walmart U.S. segment, the Walmart International segment, and the Sam’s Club segment. It manages retail stores, restaurants, discount stores, supermarkets, super centers, hypermarkets, warehouse clubs, apparel stores, Sam’s Clubs, neighborhood markets, and other small formats, as well as Walmart.com and Samsclub.com. Through its retail channels, Wal-Mart is able to provide a variety of products and services at affordable prices to consumers and companies worldwide.
Wal-Mart may see increased competition as talks of the upcoming Alibaba IPO continue to heat-up. Alibaba has some big plans aside from the Chinese e-commerce giant’s upcoming IPO. Alibaba is planning to invest $16 billion between now and 2020 to build out its infrastructure, with the goal of reaching millions of consumers in China’s interior. Reuters reports that about $15 billion will come from the company’s IPO, which has been rumored to take place in the U.S. Alibaba Chief Executive Jonathan Lu told Reuters that he expects the company’s transactions to reach $490 billion by 2016, which will top Wal-Mart, making Alibaba the largest retailer in the world.