On Thursday, Walmart reported its quarterly earnings for Q4 FY25.
Given its dominating retail position, Walmart’s earnings could serve as a crucial barometer for the state of play for the economy. As such, advisors and investors alike were keeping a particularly close eye on this earnings report.
Some of Walmart’s numbers were particularly encouraging. The retail giant reported that revenue jumped 4.1% over the last quarter. Meanwhile, Walmart noted that across the last quarter, global eCommerce sales grew 16%.
While these numbers may instill some faith in the company, many traders were dismayed by the company’s outlook for the next year. For FY26, Walmart projected net sales to increase from 3-4%. This tepid outlook reflects lingering doubts over a number of macroeconomic trends for the year.
“Our outlook assumes a relatively stable macroeconomic environment, but acknowledges that there are still uncertainties related to consumer behavior and global economic and geopolitical conditions,” said John David Rainey, Walmart CFO and Executive Vice President, during the company’s earnings call.
Following this revelation, Walmart saw its shares drop by more than 6% on Thursday. While this stock rout may be only temporary, Walmart’s outlook may send investors looking for other means of staying engaged with retailers.
Amazon May Offer A Solution
One interesting alternative is to opt for Amazon exposure instead. CNBC notes that Amazon just happened to outpace Walmart in quarterly revenue for the first time in Q4.
Luckily for investors, there are many ETFs that can help them gain more exposure to a company like Amazon. One particularly attractive means of doing so is through a fund like the Amplify Online Retail ETF (IBUY).
IBUY offers a particularly interesting take on building Amazon exposure. While Amazon sits among the larger companies within the fund, IBUY builds a globally diverse portfolio of companies in the online retail space.
Even with a lower portfolio weight, IBUY can still take in returns based on Amazon’s performance. However, the fund’s broad strategy enables IBUY to see incremental growth either through its individual holdings or broad momentum in online retail.
IBUY’s strategy has already paid off with compelling results. As of January 31st, 2025, the fund’s NAV has risen over 36% over the last twelve months.
For more news, information, and strategy, visit ETF Trends.
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