10 Best Grocery Stocks To Invest In Now

1. Walmart Inc. (NYSE:WMT)

Number of Hedge Fund Holders: 95

Walmart Inc. (NYSE:WMT), headquartered in Bentonville, Arkansas, is a leading American retailer known for its extensive network of hypermarkets, discount stores, and grocery outlets nationwide.

TD Cowen reaffirmed its Buy rating on Walmart Inc. (NYSE:WMT) with a price target of $85 on October 15, highlighting the company’s advantages in membership technology, particularly through Sam’s Club. This outlook follows recent meetings with executives from Sam’s Club, WMT Luminate, and WMT Connect, underscoring Sam’s Club’s 13% contribution to Walmart’s revenue and 11% to its operating income, largely driven by its strong member-focused tech offerings.

The retailer’s strategic cost-cutting and operational improvements have helped sustain profit margins amid supply chain challenges, while international growth in markets like Mexico and India offers promising potential. Additionally, Walmart’s consistent dividend payments appeal to income-focused investors.

While we acknowledge the potential of WMT, our conviction lies in the belief that certain AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than WMT but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock.

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