By Sebastian Herrera

Walmart is faring better than Amazon so far as investors weigh the effects of tariffs on U.S. retailers. Walmart's share price has dropped almost 6% since tariffs were announced, while Amazon's has dropped about 9%.

One key difference between the two companies is how much each relies on selling essential items, especially groceries. Online and in-person grocery purchases were almost 60% of Walmart's U.S. revenue in 2024. In comparison, Amazon's physical store sales, most of which are from Whole Foods Market, comprised about 3% of its total revenue last year.

Walmart could nab an even greater share if consumers decide to shop more in person than online during a recession. EMarketer also estimated Walmart to have recorded $58.92 billion in U.S. online grocery sales in 2024, compared to $40.50 billion for Amazon.

Amazon has been building out its logistics apparatus over the past five years to be able to deliver more essential items quickly, with some shipments arriving overnight.

Walmart has been negotiating with suppliers to share some of the increased expenses and also boosted inventories ahead of the announcement to buy time to respond. Some Amazon sellers said they also increased inventories in anticipation of tariffs and could ask their suppliers to extend terms if the tariffs hold.

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April 07, 2025 19:55 ET (23:55 GMT)

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