Walmart made headlines on Tuesday with its announcement of a three-for-one stock split, marking a significant move for the retail giant as its shares approach the all-time high set in November. The decision, according to Walmart president and CEO Doug McMillon, is driven partly by the company’s commitment to ensuring accessibility for its associates to purchase company stock.
The move is rooted in the philosophy of Walmart’s founder, Sam Walton, who believed in maintaining a share price range that allowed associates to buy whole shares rather than fractions. By implementing the stock split, Walmart aims to make investing in the company more accessible to its workforce while also conducting an ongoing review of optimal trading and spread levels.
This marks Walmart’s 12th stock split in its history, but notably, it’s the first since 1999, signifying the significance of this decision in the company’s trajectory.
In addition to the stock split, Walmart also made headlines recently for its decision to provide stock grants to its store managers, alongside new pay raises. This move reflects Walmart’s ongoing efforts to retain and reward its workforce amidst a competitive labor market landscape.
Meanwhile, in the streaming industry, Amazon’s Prime Video service made waves with its introduction of advertisements to movies and television shows, accompanied by the launch of a new ad-free tier for subscribers at $2.99 a month. This development comes on the heels of recent subscription fee increases from other streaming platforms, indicating a shift in strategy within the industry.
As Walmart continues to navigate its growth trajectory and prioritize its workforce, and as Amazon adapts its streaming service offerings, both companies are making strategic moves to stay competitive and meet the evolving needs of their customers and employees alike.