As the second-leading warehouse retailer in the world, Sam’s Club is undoubtedly one of the most popular places to purchase groceries and other items in bulk.
Because of the immense success, Sam’s Club has generated since first opening its doors in 1983, people are wondering about purchasing stock and shares in the powerhouse company.
So it seems like a no-brainer to want to invest in Sam’s Club. To learn all about whether or not Sam’s Club is publicly traded, keep on reading!
Can You Buy Sam’s Club Stock?
Unfortunately, Sam’s Club is not a publicly traded company, so no one can buy stock in the company. This is because Sam’s Club is a subsidiary of Walmart, which owns and operates Sam’s Club. Since Walmart is a publicly traded company, you can invest in Sam’s Club indirectly through Walmart stock.
If you’re curious about Sam’s Club’s stock and what other warehouse retailers are publicly traded, continue reading!
Who Owns Sam’s Club Stock?
Because Walmart controls Sam’s Club’s business operations, Walmart technically has ownership of Sam’s Club stock options.
Although Sam’s Club is a privately owned company, its parent company, Walmart, does offer stock options to the public.
Walmart founder, Sam Walton, opened the first Sam’s Club in 1983 as a subsidiary of Walmart Inc., which has owned and operated all Sam’s Club stores since.
What Kind Of Company Is Sam’s Club?
Because Sam’s Club is under Walmart’s ownership, there are no stock options available for people to invest in. So, how is Sam’s Club different from its parent company, Walmart?
Unlike Walmart, Sam’s Club is a membership warehouse club, so you must pay a monthly fee to shop for products in the store.
Another difference between Walmart and Sam’s Club is the fact that products are sold in bulk, directly off pallets, at Sam’s Club.
One similarity between Sam’s Club and Walmart is the exceptionally low prices for quality products both stores provide to their customers.
How To Invest In Sam’s Club (Kind Of)
Buying in bulk allows customers to stock up on everyday items while saving a significant amount of money. So, if you are itching to invest in Sam’s Club, there is an indirect way to do so.
Sam’s Club’s parent company, Walmart, is a publicly-traded company. So, unlike Sam’s Club, you can invest in Walmart and reap the benefits of one of the world’s leading retail stores.
Even though Walmart is still a family-owned business, the company’s massive success pushed the Walton family to list Walmart as a publicly traded company.
Stock Options Similar To Sam’s Club
If you love club-based warehouse retail stores and would like to invest in one directly, do not worry, there are a number of options available.
Some of the warehouse retailers that are similar to Sam’s Club and also trade publicly include the following:
Costco is nearly identical to Sam’s Club. Costco stores are massive and sell everything from food to jewelry to clothing items.
Compared to Sam’s Club, Costco has nearly 200 more warehouse locations and boasts higher sales numbers.
Costco focuses on selling higher quality food than its competitors, which is another main reason the chain has earned widespread popularity and years of financial success.
With all that being said, Costco does offer stock options so that you can invest in the company’s success.
BJ’s Warehouse Club
Originating on the East coast, BJ’s is another warehouse chain that allows its customers to buy food, paper products, and other miscellaneous products in bulk.
Although it’s a smaller operation compared to Sam’s Club, BJ’s has recorded notable success in its 200+ locations along the East coast.
For several years, BJ’s was a privately owned company and did not offer stock options for investors. However, in 2018 that changed, and BJ’s became a publicly traded company.
If you’re looking to invest in a warehouse company not based in the United States, PriceSmart is an excellent option.
As the largest warehouse retailer in Central America and the Caribbean, PriceSmart boasts consistently high profits. And the store is growing, as PriceSmart is expanding into South America.
Originally, PriceSmart was merged with Costco. However, the two companies eventually split, and executives soon rebranded PriceSmart.
Today, PriceSmart and Costco maintain a close business partnership, as PriceSmart is one of Costco’s largest customers.
You can buy stock in PriceSmart, but know part of its performance does rely on a relationship with Costco.
Understanding The Company History Of Sam’s Club
Even though Sam’s Club does not offer stock options, Walmart does. The concept behind Walmart stores is quite simple; the store sells almost everything and anything imaginable.
This allows customers to find everything they need at one location.
But how did Walmart beat out several competitors throughout the years who were essentially doing the same thing?
Like most powerhouse companies, Walmart began as a small operation. In 1950, striving businessman Sam Walton bought his first store in Arkansas.
Before the name Walmart came into fruition, Walton named his stores Walton’s 5 & 10.’
Walton’s initial store achieved success because of the lower prices he offered.
Even though some of the price differences were only a few cents cheaper, it was enough to sway people to shop at Walton’s store instead of the competitors.
Instead of cutting store expenses and spending money on continuous innovation, Walton instead focused on providing lower prices for the consumer.
These lower prices and Walton’s ‘Merchandise-Driven’ focus are credited for the rapid growth and success of the Walmart brand.
As Walmart began popping up in most cities across the country, the company eventually opened up its first Sam’s Club in 1983 and its first Supercenter in 1988.
Today, there are about 600 Sam’s Club stores across the United States.
Sadly, Sam’s Club is not a publicly traded company because it’s owned by retail powerhouse Walmart. However, if you want to invest in Sam’s Club, you can indirectly do so by purchasing stock in Walmart, which is a publicly-traded company.
With the recognizable success in Walmart and its subsidiary Sam’s Club, investing in Walmart is quite common.