Wal-Mart Stores makes up approx 0.34% of Yhb Investment Advisors’s portfolio.Tnb Financial boosted its stake in WMT in the latest quarter, The investment management firm added 8,583 additional shares and now holds a total of 34,663 shares of Wal-Mart Stores which is valued at $2,557,783. The acquisition could give it access to Jet.com’s innovative pricing software, its network of warehouses and consumer data.
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Walmart’s ShippingPass costs $49 a year whilst Amazon Prime costs $99 in the US.
The WMT stock price jumped 0.7% to $73.45 around 10:15 a.m. today (Thursday, Aug. 4). But despite spending millions on tech and marketing, Jet.com is finding Amazon harder to take on than it thought.
Wal-Mart reported a higher than expected profit last quarter, but it’s no secret the company hasn’t been happy with its performance on the e-commerce front. “Growth here is too slow”, he said in May.
It isn’t clear whether Walmart, if it indeed purchases Jet, would keep the websites’ standalone identities, or whether Hayneedle and Jet would be folded into Walmart.com. Jet only really works long-term as a standalone company if it can convince millions of people to order multiple items at a time to earn discounts; individual product prices aren’t typically better than its competitors. It also was about a year ago that Amazon charged past Wal-Mart in terms of market value. The firm has so far spent its resources towards developing an online presence that will match its dominance in offline retail. Shoppers continue to shop overwhelmingly at Amazon, which accounts for more than half of all dollars spent online. Its e-commerce initiatives are considered a failure for a retailer with such a big brand and reach. Wal-Mart Stores was Downgraded by Northcoast to ” Neutral” on Jul 12, 2016.
Wal-Mart has been rapidly gulping down startups over the past couple of years, including recipe and meal-planning service Yumprint and advertising-tech firm Adchemy.
On the other hand, Amazon’s revenue in North America grew 25 percent in 2015.
Well, Wal-Mart’s online sales have been ticking up, but not almost as fast as Amazon’s. In comparison, Amazon as a whole brought in $107 billion (including revenues from AWS).
In other words, the analysts said in a May note to clients, Walmart needs to step up its online game. For Jet, its acquisition suggests it can’t make it on its own in the competitive e-commerce space.
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This could be a big deal for Walmart stock. The stock price is trading upbeat from its 200 days moving average with 13.01% and up from 50 days moving average with 2.41%.
