Investors who owned stocks in the 2010s generally experienced some big gains. In fact, the SPDR S&P 500 SPY total return for the decade was 250.5%. But there’s no question some big-name stocks did much better than others along the way.
Walmart’s Difficult Decade
One of the market laggards of the past decade was retail giant Walmart Inc WMT.
The 2010s were a transformative decade for Walmart. The company was forced to invest heavily in an aggressive transition to online sales to keep pace with e-commerce leader Amazon.com, Inc. AMZN.
Walmart started the decade as almost an exclusively brick-and mortar business. However, by 2015, the company had upped its annual e-commerce investment from $1 billion to between $1.2 billion and $1.5 billion.
Walmart acquired e-commerce site Jet.com for $3.3 billion in 2016. The company has also been investing in same-day delivery and in-store pickup. Walmart appears to be poised to continue its investing and innovation in the 2020s, recently announcing an $11 billion commitment to store redesigns, including the addition of autonomous floor cleaners, shelf scanners and unloaders.
Walmart shares started the 2010s trading at around $54. The stock dipped as low as $47.77 in mid-2010, its lowest point of the decade. From that point forward, Walmart shares marched steadily higher, reaching $90.97 by the beginning of 2015.
The stock then plummeted as e-commerce investments began eating into earnings. Walmart traded back down to $56.30 in late 2015 before e-commerce investments began to start paying off for investors.
2020 And Beyond
Walmart finally broke out to new highs in 2017 and made it as high as $125.38 in 2019, its high water mark of the 2010s.
Though the stock has since pulled back below $120, Walmart investors still made positive returns in the 2010s. In fact, $100 worth of Walmart stock in 2010 would be worth about $286 today, assuming reinvested dividends.
Looking ahead, analysts expect Walmart to make new highs again in 2020. The average price target among the 30 analysts covering the stock is $130, suggesting 10.3% upside from current levels.
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