Walmart: Tariff Fears Fuel Cry Wolf Rally

Walmart's stock surged past $100 in 2025, driven by defensive positioning amid recession fears and strong investor demand. Tariffs are creating a regressive tax environment, squeezing Walmart's core lower-income customers but potentially attracting middle-income shoppers seeking value. Despite economic resilience, consumer sentiment is weakening, and inflationary pressures may compress Walmart's margins even as sales could exceed expectations.