Walmart's global advertising revenue reached $6.4 billion during fiscal year 2026. This revenue represents a 46% increase from the prior year. The advertising segment currently accounts for less than 1% of total sales.
Advertising and Walmart+ membership fees generated approximately one-third of operating profits in the fourth quarter of fiscal year 2026. High profit margins in this sector provide a strategic alternative to thin merchandise margins.
Analysts suggest the advertising expansion could trigger a re-evaluation of Walmart's stock. The business may drive overall earnings growth higher than current market expectations. These developments could justify a premium valuation for the company's shares in the future.