Walmart vs. Amazon: Which Trillion-Dollar Stock Is a Better Buy Right Now?
The Motley Fool
by newsfeedback@fool.com (Adam Levy)February 22, 2026
AI-Generated Deep Dive Summary
Walmart (NASDAQ: WMT) and Amazon (NASDAQ: AMZN), two retail giants, are currently heading in opposite directions in terms of stock performance. While Amazon has seen its value grow significantly due to its dominance in cloud computing through Amazon Web Services (AWS), there is growing investor concern about the company's $200 billion capital expenditure budget for 2026 and whether it will deliver the expected returns. On the other hand, Walmart has been gaining traction as a more stable investment option, with its stock price rising steadily and crossing the $1 trillion valuation mark. This divergence raises an important question: which of these trillion-dollar companies is the better buy right now?
Amazon's success has largely been driven by its AWS segment, which has benefited from the surge in demand for artificial intelligence (AI) computing. However, investors are increasingly skeptical about the company's massive spending on infrastructure and innovation. While AWS remains a critical driver of Amazon's value, concerns about the scalability and profitability of such a large investment are casting doubt over the long-term sustainability of its growth trajectory.
In contrast, Walmart has positioned itself as a more resilient investment choice, particularly in the context of the AI-driven economy. The company's stock has performed well due to its diversified business model, which includes both e-commerce and physical stores. Investors view Walmart as being less exposed to the risks associated with Amazon's heavy reliance on technology infrastructure and AI innovation.
For readers interested in finance and investing, this comparison highlights the importance of evaluating both growth potential and financial stability when making investment decisions. While Amazon represents cutting-edge innovation and high growth potential, it also comes with significant risks due to its large capital expenditures. On the other hand, Walmart offers a more traditional retail model with a proven track record of resilience and steady performance.
Ultimately, whether Walmart or Amazon is the better buy depends on individual investor preferences and risk tolerance. Those seeking high-growth opportunities may lean towards Amazon, while others prioritizing stability might find greater value in Walmart. This dynamic underscores the broader themes shaping the
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Originally published on The Motley Fool on 2/22/2026