U.S. retail giant Walmart (WMT) is set to open its second South African store in less than a week as it continues its global expansion.
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A Massive Success
The group will open a store at Fourways Mall in Johannesburg on Friday November 28, just days after launching its first store at Clearwater Mall in the city.
Walmart said its Clearwater Mall opening had already been a “massive success,” with strong customer turnout and high demand for international products.
These include American sweets such as Pop-Tarts, Swedish Fish, Nerds and Sour Patch Kids.
Premium meat products, such as Sparta marbled sirloin steaks and Walmart-exclusive Fuggler plush toys and Hot Wheels collectables, will also be on sale in the second store.
Andrea Albright, Walmart International’s executive vice president and chief growth officer, said the launch of the first South African store was “much more than a business milestone.”
She said Walmart wants to help customers “save money and live better by consistently delivering the lowest total cost for the basket of products they need.”
Indeed, a survey from South African news website BusinessTech found that Walmart was the cheapest across Woolworths, Checkers, Pick n Pay and SPAR.
International Growth Plan
While Walmart has operated in South Africa for years through its fully owned subsidiary Massmart, which runs chains like Makro, Game, and Builders Warehouse, it has never launched stores bearing its own name.
The move is part of Walmart’s broader strategy to expand its global presence and tap into Africa’s growing consumer base.
Walmart recently launched a mobile app in South Africa including online ordering and delivery.
According to 6Wresearch, the South African food and grocery retail market is estimated to grow at a compound annual growth rate (CAGR) of approximately 4.8% from 2025 to 2031. It is likely to be driven by rising disposable incomes in the country.
The demand for food and grocery products is also being boosted by more urbanization and the growing popularity of modern shopping options such as E-Commerce.
International sales were a bright spot of Walmart’s recent Q3 results, with sales up 11%. E-Commerce sales were up 26%, led by marketplace and store-fulfilled pickup & delivery.
Is WMT a Good Stock to Buy Now?
On TipRanks, WMT has a Strong Buy consensus based on 26 Buy ratings. Its highest price target is $130. WMT stock’s consensus price target is $121.92, implying an 11.75% upside.
