Walmart Inc.’s WMT second-quarter fiscal 2026 results highlight how the retail bellwether is leveraging its digital ecosystem to accelerate growth. Global e-commerce sales surged 25% during the quarter. This momentum was broad-based, with all business segments — Walmart U.S., Walmart International and Sam's Club U.S. achieving digital growth north of 20%.
A key driver of this expansion is the strategic emphasis on fulfillment speed and convenience. In the United States, store-fulfilled delivery saw an almost 50% jump, with a notable one-third of these deliveries being completed in three hours or less, and 20% of those deliveries arriving within just 30 minutes to customers. This model, which leverages existing store infrastructure for fast fulfillment, provides a competitive edge.
In the United States, e-commerce advanced 26%, fueled by delivery speed and an expanding advertising business, Walmart Connect, which jumped 31%. Sam’s Club U.S. mirrored this performance, with e-commerce also up 26%. International operations notched 22% growth, highlighting strength in China, Walmex and Flipkart.
Marketplace growth further strengthened Walmart’s digital expansion. Marketplace sales grew about 20%, with roughly 44% of marketplace volume now flowing through Walmart Fulfillment Services. This deeper adoption of Walmart Fulfillment Services not only boosts operational efficiencies but also enhances the platform's appeal for third-party sellers. Complementing these gains, the company’s global advertising business surged 46%, while membership income rose 15.3%, enriching the digital mix.
Walmart’s e-commerce business is rapidly becoming a central engine of growth. The question now is not whether Walmart can grow online but how big the business can ultimately become.
How Walmart’s E-Commerce Growth Compares to COST & BJ
Costco Wholesale Corporation COST continues to show digital momentum, with e-commerce comparable sales rising 14.8% in the third quarter of fiscal 2025 and 15.1% in July. Costco is boosting its digital reach through efforts like Costco Logistics and a new Buy Now Pay Later option. Costco Logistics saw a 31% year-over-year increase in big and bulky e-commerce deliveries in the last reported quarter.
BJ's Wholesale Club Holdings, Inc. BJ continues to push hard on its digital front, with digitally enabled comparable sales jumping 34% in the second quarter of fiscal 2025. BJ’s Wholesale is leveraging services like BOPIC, ExpressPay and same-day delivery to deepen engagement, with more than half of active members now using its app regularly. This underscores how BJ’s Wholesale is turning e-commerce into a significant growth driver, enhancing convenience while reinforcing loyalty across its 8 million member base.
What Latest Metrics Say About Walmart
The Zacks Consensus Estimate for both Walmart’s current financial-year sales and earnings per share implies year-over-year growth of 4%.
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Walmart has been a standout performer, with shares rallying 27.7% in the past year, almost in tandem with the industry’s growth of 27.4%.
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From a valuation standpoint, Walmart's forward 12-month price-to-earnings ratio stands at 34.79, higher than the industry’s 32.03. WMT carries a Value Score of C.
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Walmart currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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Today, See These 5 Potential Home Runs >>Walmart Inc. (WMT) : Free Stock Analysis Report
BJ's Wholesale Club Holdings, Inc. (BJ) : Free Stock Analysis Report
Costco Wholesale Corporation (COST) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
