Walmart and Costco Show Strong E-commerce Growth
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1 day ago
0mins
Should l Buy AMZN?
Source: NASDAQ.COM
- E-commerce Sales Surge: Walmart's U.S. e-commerce sales rose 27% last quarter, marking its eighth consecutive quarter of over 20% growth, which underscores its strong performance in the e-commerce sector and solidifies its market position.
- Advertising Business Expansion: Walmart's acquisition of Vizio has allowed it to enhance its retail media and video content, resulting in a 41% increase in U.S. digital advertising sales last quarter, which not only boosts revenue streams but also strengthens its advertising capabilities in a competitive market.
- Market Share Challenge: Despite strong e-commerce results, both Walmart and Costco have failed to capture market share from Amazon, whose e-commerce market share increased from 34.4% in 2024 to 35.7% in 2025, indicating its continued dominance in the market.
- Valuation Discrepancy: Amazon's enterprise value is only 10.8 times its expected 2026 EBITDA, while Walmart and Costco trade at multiples exceeding 21 and 30, respectively, reflecting investor skepticism about Amazon's cloud computing business, potentially offering a buying opportunity for long-term investors.
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Analyst Views on AMZN
Wall Street analysts forecast AMZN stock price to rise
44 Analyst Rating
41 Buy
3 Hold
0 Sell
Strong Buy
Current: 207.540
Low
175.00
Averages
280.01
High
325.00
Current: 207.540
Low
175.00
Averages
280.01
High
325.00
About AMZN
Amazon.com, Inc. provides a range of products and services to customers. The products offered through its stores include merchandise and content it has purchased for resale and products offered by third-party sellers. The Company’s segments include North America, International and Amazon Web Services (AWS). It serves consumers through its online and physical stores and focuses on selection, price, and convenience. Customers access its offerings through its websites, mobile apps, Alexa, devices, streaming, and physically visiting its stores. It also manufactures and sells electronic devices, including Kindle, Fire tablet, Fire TV, Echo, Ring, Blink, and eero, and develops and produces media content. It serves developers and enterprises of all sizes, including start-ups, government agencies, and academic institutions, through AWS, which offers a set of on-demand technology services, including compute, storage, database, analytics, and machine learning, and other services.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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