Walmart just reminded the market why it’s still the heavyweight champ of retail.

The company posted earnings of $0.61 per share, beating expectations and inching up from last year. Revenue came in at $165.6 billion—not a blowout, but still solid growth at 2.5%. Most notably, e-commerce sales popped 22%, and their global ad business exploded by 50%. That’s serious momentum in the right places.

Stateside, Walmart U.S. saw same-store sales jump 4.5%, outpacing estimates. Sam’s Club came in even stronger with a 6.7% bump. The company’s grocery and health categories are clearly doing the heavy lifting—and that’s no surprise. When wallets get tight, people still buy toothpaste, bananas, and baby formula. Walmart’s moat is real.

The stock’s up 7% on the year, outperforming most of the Dow, and it just reclaimed a key technical level. That’s got traders paying attention.

Now, about those tariffs. Yes, they’re still hanging around—and Walmart’s CFO didn’t sugarcoat it. Even with the U.S. easing tariffs temporarily, prices are likely headed higher. But here’s the silver lining: Walmart has the scale, supply chain muscle, and negotiating power to absorb a lot of that pain—more than most retailers. They’ve already asked suppliers to help carry the load, and while not every increase can be dodged, the company is moving proactively, not reactively.

Walmart reaffirmed its full-year guidance, projecting sales to grow 3%–4% and earnings to stay steady. In other words: steady hands on the wheel.

Zooming out, we’re in a weird retail moment. April’s retail sales slowed, but wholesale inflation unexpectedly dropped. Consumer prices are cooling. Translation? There’s still room for optimism if you're playing the long game and reading between the lines.

Bottom line: Walmart is showing what it looks like to play offense in a tough environment. They’re not just surviving—they’re adapting, investing in the right areas, and leaning into their competitive edge. And that’s exactly the kind of leadership the market rewards.