10 Best Retail Stocks To Invest In

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1. Walmart Inc. (NYSE:WMT)

Number of Hedge Fund Holders: 88

Walmart Inc. (NYSE:WMT) is an omnichannel retailer that operates retail and wholesale stores and clubs, e-commerce websites, and mobile applications. It offers an elaborate array of items, ranging from general merchandise and electronics to food, groceries, and more.

The company’s fiscal Q3 2025 earnings showed sales growing by 6.1% in constant currency and profit growing by 9.8%. E-commerce was one of the primary drivers of growth worldwide, up 27%. Other growth drivers included advertising and membership income, which grew by 28% and 22%, respectively. These trends allowed the company to grow profits faster than sales while simultaneously working to lower prices and invest in its associates.

The rapid growth from these newer businesses is allowing Walmart Inc. (NYSE:WMT) to strengthen its business model. It is continuing to gain market share in the US in both general merchandise and grocery. Further trends in the US in fiscal Q3 2024 saw growing in-store volumes, faster curbside pickup, and an increase in delivery sales. There was no like-for-like inflation in the US in fiscal Q3 2025. Walmart Inc. (NYSE:WMT) is becoming more convenient for its customers and members, and that is helping it drive growth.

Overall, WMT ranks first among the 10 best retail stocks to invest in. While we acknowledge the potential of retail stocks, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. 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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