DA Davidson reiterates Buy rating on Walmart stock amid OpenAI partnership

Published 15/10/2025, 14:50
DA Davidson reiterates Buy rating on Walmart stock amid OpenAI partnership

Investing.com - DA Davidson has reiterated its Buy rating and $117.00 price target on Walmart (NYSE:WMT) stock following the retailer’s partnership announcement with OpenAI. The retail giant, currently trading near its 52-week high with a market capitalization of $866 billion, maintains a strong Buy consensus among analysts according to InvestingPro data.

The firm highlighted Walmart’s new collaboration with OpenAI, announced Tuesday, which will soon allow consumers to shop at Walmart through ChatGPT using the Instant Checkout platform.

DA Davidson had previously identified Walmart as a potential winner in the emerging "Agentic Commerce" theme following OpenAI’s launch of Instant Checkout for ChatGPT last week.

The research firm believes Walmart is well-positioned to succeed in this new commerce landscape due to both its scale, which enables investment in new technology, and its early adoption of AI initiatives.

This partnership announcement supports DA Davidson’s view that Walmart will emerge as a leader among traditional retailers in what it calls the "Agentic Commerce race." While technical indicators suggest the stock may be in overbought territory, InvestingPro subscribers can access over 15 additional exclusive insights and detailed valuation metrics to make informed investment decisions.

In other recent news, BTIG has initiated coverage on Target with a Neutral rating, highlighting competitive pressures from major retailers. The research firm has set fiscal year 2025 earnings per share estimates at $7.40 and fiscal year 2026 estimates at $7.85 for Target . Meanwhile, Walmart has been initiated with a Buy rating by BTIG, alongside a price target of $120.00. The firm has forecasted Walmart’s earnings per share to be $2.60 for fiscal year 2026 and $2.85 for fiscal year 2027. Additionally, Walmart announced a partnership with OpenAI, introducing a feature called Instant Checkout that allows customers to shop through ChatGPT. This collaboration is designed to enhance the e-commerce experience by enabling purchases through conversational AI. The announcement has been well-received, as Walmart’s stock rose following the news. The new AI-powered shopping experience aims to streamline the process of meal planning, restocking essentials, and product discovery.

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