Walmart (WMT) - Get Report bucked the market's downward spiral on Monday, with the giant retailer's stock price rising as consumers stock up on basic food and household items amid the spread of the coronavirus.
On a day when stocks were plunging across the board, shares of Walmart rose roughly 2% before giving back some of its gains, edging up 0.55% to $117.88 a share.
As the impact of the coronavirus on the stock market has intensified over the past few days, Walmart has seen its stock price rise from $115.17 a share at the start of trading last Tuesday.
The sudden drop in oil prices after the surprise OPEC price cut over the weekend may, over the longer term, also benefit Walmart, putting more cash into the pockets of consumers.
Walmart earned a reputation in the Great Recession as a solid stock during turbulent times when the world's largest brick-and-mortar retailer's stock price rose 2%, compared to the 31% hit shares of retailers in general suffered during 2008 and 2009, according to a recent research report by analysts at Cowen.
Cowen has called Walmart "one of the best positioned" retailers to ride out the current market and economic storm, predicting it could see a "material lift" as consumers stock up on groceries and health items as Covid-19 continues to spread across the United States and other countries.
Walmart is also gearing up for a major online sales push as well, another area that is expected to see gains amid the fallout from the coronavirus epidemic.
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