This website uses cookies to ensure you have the best experience. Learn more

Investment In Walmart Stock Essay

1010 words - 5 pages

Sam Walton was the creator of Walmart; therefore, he must to have had success in his company to make it a very popular, widespread, multi-billion dollar company during our lifespan. The Walmart legacy has spread to 11,088 locations since its foundation in 1962. Sam Walton began to build upon his founding of Walmart by opening many other stores in the local areas around Roger, Arkansas. This would play a key role in how his business skyrocketed into success. Walton’s family has led Walmart into even greater success ever since his passing. The origins, popularity, and health of the Walmart stock are very important aspects to look at when looking at whether to look at investing into ...view middle of the document...

C. Penney in town. He worked there until 1942 when he moved back to his family, and at the age of 26, he opened up his first variety store with loans from his father and the money he had earned from military benefits. This store was located in Newport, Arkansas and was originally a franchise of the Butler Brothers chain. This store is where Sam Walton began to inquire his ideas of his empire of variety stores and supermarkets. This store is also the conclusion of Sam Walton’s childhood and the beginning of his legacy.
Due to the Meijer chain of discount stores stealing their ideas,Walmart had to add another way of bringing in revenue. By the end of 1962, the Walmart City Discount Store had converted to Walmart Supercenter; therefore, the supercenter style of store increased the revenue of Walmart substantially. This is because instead of only getting clothes, cleaning supplies, and snacks from local Walmart stores, you are able to get everything ranging from food to cleaning to upholstery. Almost everything needed for everyday life was found at a cheaper price in Walmart. This change increased the store’s popularity as well. By 1970, there were 38 Walmart stores with sales over $44.2 million. The states of operation included Arkansas, Kansas, Louisiana, Missouri, and Oklahoma. In 1978, their stock was documented to be around 7.8 cents per share. At this time, Walmart was not growing very rapidly at all, but in the 1980’s Walmart “boomed”. By its 25 year anniversary, Walmart had 1,198 stores and had sales of $15.9 billion. Walmart has slowly climbed its way up to 11,088 stores as of April 2014. It has also brought in $465.249 billion in revenue as of 2014. This shows to prove that in 52 years, the company has increased dramatically in popularity.
The Walmart stock is recorded back to 1978. During this time, Walmart’s...

Find Another Essay On Investment in Walmart Stock

ratio analysis of financial statements - UCL/finance - research paper

1157 words - 5 pages before making investment decisions. Such decisions can be done based on the analysis of various financial ratios obtained from a company’s financial statement. Below is a ratio analysis for Disney Company. Walmart Ratios 2015 2014 Liquidity ratios Current ratio 0.8924 0.8788 Quick ratio 0.2273 0.2116 Profitability ratio Return on assets 0.0167 0.0177 Return on equity 0.0437 0.0492 Market ratio Earnings per share 1.0417 1.1193 Price to earnings ratio

Compensation and Benefits Essay

1858 words - 7 pages been brought to light in recent years. These company internal issues, if not resolved, could serve as the critical reason for continued negative publicity which may adversely impact future sales. In fairness to Walmart, the company was one of the first large retailers to offer profit sharing and stock options to all full-time employees. Walmart also pioneered a system of performance-based incentives, with a bonus structure tied directly to the

Information Systems in Supply Chain Management

6098 words - 24 pages Walmart to achieve the economies that come with purchasing full truckloads of goods while avoiding the usual inventory and handling costs. However, to make cross-docking work, Walmart has the make strategic investments in a variety of interlocking support systems far beyond what could be justified by conventional Return on Investment criteria. Cross-docking requires continuous contact among Walmart's distribution centers, suppliers, and every point of

Wal-Mart Future Stock Price Analysis

1142 words - 5 pages -term investment when compared to short-term as the growth in stock price is slow. The stock price of the company increases and stabilizes itself within the new range. The future expected growth is about 3.59% for the year 2015 with 14.14 as its P/E ratio for the period (NASDAQ, 2014). Earnings per share are also expected to grow in the future which is a positive indication for future stock price increase. This stock will definitely provide for

Walmart Information Systems

2412 words - 10 pages incorporate RFID technology into their distribution system and on the tags for their individual products. This technology has enabled Walmart to ensure items are in stock when consumers are in the store to purchase them and to improve efficiency of their entire supply chain system. Data Processing Walmart’s information systems includes progressive supply chain management systems, enterprise resource planning systems and customer management

Walmart Supply Chain

1102 words - 5 pages to take up the Marine Stewardship Council's certification program. This process will be time consuming, expensive and complex. The depletion of some fish poses a threat to Walmart and its seafood supply chain.Many challenges exists that will lead to indirect or direct increases in the cost of the supply chain. Because of the lengthy supply chain, with the fish travelling through many parties who are involved in catching, packaging, forwarding

Supply Chain Management: Walmart

1905 words - 8 pages which are well-know technologies as strength of Walmart. Thanks to these technologies, all the products information regarding the inventory level are available at real-time by every employee. They can identify the pallet and the location from where the stock had to be picked up by making two scans. The hand-held computers guide employees with regard to the location of particular product from a particular bin or shelf in the centre; therefore

Demographic Factors Research

3577 words - 14 pages and performance.Founded in 1968, Arbor E&T is now the largest single supplier of job-related education, counseling, and employment assistance under federally funded programs such as the Workforce Investment Act and the Temporary Assistance for Needy Families programs (Arbor E&T, 2009). Management planning for many of its customers receiving federally funded assistance requires that certain guidelines followed because federally funded

What cultural problems did Walmart face in some of the international markets it entered?

778 words - 4 pages exporting the culture of bulk purchases which was a success in the American context as shopper liked to stock up; the idea failed in the Japanese context as shoppers didn’t like the idea of bulk purchases and these preference didn’t fit in with Walmart encouragement to undertake bulk purchases. Critical to Walmart strategy was low price offerings; this didn’t go well with the quality conscious preference favoured by the Japanese people; although


980 words - 4 pages has lead them to their current position today on the New York Stock exchange. WalMart relies on advertising to boost their sales and to build traffic, however in 1993 advertising costs were only 1.5% of WalMart's discount store sales oppose to 2.1% for direct competitors. Their IT helps them determine which products are the most popular to the customers, and thus they are able to offer the lowest prices on the most needed products. Advertising

Walmart - Black Friday 2013

712 words - 3 pages offered at an immense discount. Second, Walmart has added another new marketing plan, which they called “1-Hour in Stock Guarantee”. This is an in-store only enticement on six hot deals is for one hour only, 6-7pm. If Walmart runs out of stock in the store, the shopper is given a Guaranteed Card for the item and would be available at the store before Christmas, kind of like a rain check. Third, Walmart ads more enticement by adding a store gift

Similar Essays

Importance Of Emh In The Valuation And Investment Internet Related Stock Market

2980 words - 12 pages 1.0Introduction1.1PurposeThe purpose of this report is to investigate the Internet-related stock market, and the importance of EMH in its valuation and investment.1.2ScopeVarious textbooks on finance and certain web-sites were used to gather information and discuss the issues.1.3LimitationsThe limited word count of this report is a big limitation as a number of other important issues could not be covered and the current issues stated could be in

Walmart — Annual Report 2010

1086 words - 4 pages discount, the first store that comes to mind is Walmart. The company, however, is considered a big challenge for its small competitors. On the one hand, Walmart is famous for creating jobs, on the other it is blamed for the demise of a number of businesses.Walmart was founded in 1962 by Sam Walton. It was incorporated on October 31, 1969 , and later became a part of the New York Stock Exchange in 1992 as WMT. This paper will evaluate Walmart annual

Wal Mart Stores: Hybrid E Tailing And Brick And Mortar Model

1268 words - 5 pages with offshored sales support, analytics-driven shopping assistance, custom-tailored bonus offers, gamification and online self-checkout. However, economics journalists like Matthew Yglesias have argued that as a retail incumbent, Walmart cannot successfully enter e-tailing without cannibalizing their in-store sales, thereby harming their stock performance (Yglesias, 2013). As evidenced by Amazon’s recent decisions to expand its physical presence

A Case Study Of Walmart Stores Inc. With Swot,Internal And External Elements Which Add To The Company Success

2087 words - 8 pages . The cross-docking inventory system allows merchandise to be delivered to the stores within 48 hours. The system generates continuously which reduces cost in that sales and advertising campaigns are eliminated because first the products are always available at low price. Second, Walmart are able to restock their shelves four times faster than the competition.The Massively Parallel Processor,(MPP) allows Walmart to track stock movement and keep