In May - 2018, Walmart acquired a 77% stake in the indian e-commerce giant Flipkart for $16 billion. This deal gives walmart a greater access to India's e-commerce market. but this deal will take some time to be profitable. because of this deal, Walmart stock price dropped by almost 4% immediately. Walmart's top management belives that this deal will be profitable in a long run, as flipkart is expected to generate losses for next few years. so this deal is clearly an investment for future.
But as of now, because of this deal, Walmart's stock price is dropped. But this will lead to a profitable investment for the company in future because India is a very big market.
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