Walmart shares fell sharply on August 20 after the retailer released its latest quarterly results, with the stock closing at $103.84, down 9.15% from the previous session’s $114.30 close. The decline came even as Walmart reported solid overall results and raised its full-year sales and operating income outlook.
The main concern for investors was weaker comparable sales growth in the United States and a more cautious outlook for the near term. Walmart reported U.S. comparable sales growth of 2.6%, its slowest quarterly growth in six years. The figure was below the 3.8% increase expected by analysts.
A strong quarter overshadowed by weaker sales trends
Walmart’s second-quarter fiscal 2027 results still showed growth across several parts of the business. Total revenue increased 5.9%, while e-commerce remained a major source of momentum. U.S. e-commerce sales rose 24% during the quarter, highlighting the continued strength of Walmart’s digital business.
The retailer also raised its full-year guidance. Walmart now expects fiscal 2027 net sales to grow between 4% and 5%, while adjusted earnings per share are expected to reach between $2.80 and $2.87. However, its third-quarter earnings forecast came in below Wall Street expectations, adding to investor concerns.
Higher fuel prices and softer spending among some consumers also weighed on the outlook. Walmart has been cutting prices on thousands of products as it works to maintain its value-focused strategy.
Walmart opens the door to contactless payments
While investors focused on the earnings report, Walmart also announced a major change to its payment strategy. On August 21, the retailer confirmed that it will begin introducing Tap to Pay at Walmart stores and Sam’s Club locations in the United States.
The new system will support contactless payments using eligible cards, smartphones and smartwatches. This means customers will be able to use digital wallets and supported contactless payment methods at participating checkout locations.
Walmart said the rollout will begin on August 24 at select stores and Sam’s Club locations. The company plans to expand Tap to Pay to all U.S. Walmart stores and Sam’s Club locations by the end of 2026. Its fuel stations are expected to receive the service by mid-2027.
A major shift from Walmart’s long-standing approach
The move is significant because Walmart has historically promoted its own payment tools instead of supporting services such as Apple Pay and Google Pay. Customers have been able to use options including Walmart Pay, while Sam’s Club members can use Scan & Go to pay through the retailer’s digital ecosystem.
Walmart’s latest decision changes that approach by allowing customers to use contactless payment methods alongside its existing options. The company has positioned the move as a way to give shoppers and members greater choice at checkout.
The CurrentC experiment ended years ago
Walmart’s resistance to third-party mobile payments has a long history. The retailer previously joined other large retailers in developing CurrentC, an alternative mobile payment system intended to compete with services such as Apple Pay.
The initiative ultimately failed and was shut down in 2016. Walmart continued to promote its own payment solutions after the project ended, rather than adopting Apple Pay and similar services.
Tap to Pay expands customer choice
Walmart said Tap to Pay will be added alongside payment methods already available, including cash, credit cards and Walmart Pay. Customers will also be able to add eligible Walmart, Sam’s Club and OnePay cards to their digital wallets.
The company’s decision gives shoppers more flexibility when paying in stores. For customers who already rely on contactless payments elsewhere, the new option will make Walmart’s checkout experience more consistent with other major retailers.
Two major Walmart stories arrive together
Walmart is therefore facing two different developments at the same time. Its latest earnings report showed continued growth in revenue and digital sales, but weaker U.S. comparable sales and cautious near-term expectations triggered a sharp reaction from investors.
At the same time, the decision to introduce Tap to Pay marks a notable change in how Walmart handles payments. Starting with selected locations on August 24, the service is scheduled to reach all U.S. stores and clubs by the end of 2026, followed by fuel stations by mid-2027.
For shoppers, the change means more payment choices. For investors, the immediate focus remains on Walmart’s sales growth, consumer spending trends and whether the retailer can maintain its strong performance as economic pressures continue to affect customers.
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