Bernstein Raises Walmart (WMT) Price Target on 2026 Consumer Spending Expectations

Walmart Inc. (NASDAQ:WMT) is included among the 13 Best Consumer Staples Dividend Stocks to Invest in Now.

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On January 5, Bernstein raised its price target on Walmart Inc. (NASDAQ:WMT) to $129 from $122 and kept an Outperform rating. From a broader macro view, the firm expects middle- to high-income consumers to be in a stronger position in 2026. Inflation remains elevated, and the labor market is starting to soften, which has continued to pressure the real spending power of lower-income shoppers. Bernstein also said incremental tax refunds tied to the OBBBA are likely to skew toward middle- and high-income groups.

Walmart Inc. (NASDAQ:WMT) shares are up more than 23% over the past year. In 2025, the company had to absorb tariffs and higher costs, many of which were passed along to consumers. Even so, Walmart handled that stretch better than most. Its third-quarter results came in solid, given the backdrop it was dealing with at the time.

The business itself remains hard to shake. Roughly 90% of the US population lives within 10 miles of a Walmart store. That footprint matters, especially when prices are under pressure. The company has also stayed disciplined on pricing, keeping its low-price promise relative to competitors even when costs rise. That combination showed its value again in 2025.

The company also made a notable move on the technology front, striking a deal with OpenAI that will allow consumers to browse and purchase Walmart items through a shopping and checkout feature integrated into ChatGPT. Adapting to change is nothing new for the company. While many retailers struggled or disappeared as e-commerce gained ground, Walmart kept investing and adjusting. It now ranks among the largest online retailers in the US, alongside its massive physical presence.

Walmart Inc. (NASDAQ:WMT) operates as a technology-powered omnichannel retailer, running retail and wholesale stores and clubs, along with e-commerce websites and mobile apps.

While we acknowledge the potential of WMT as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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