The following video is part of our "Motley Fool Conversations" series, in which industrials editor/analyst Isaac Pino discusses topics around the investing world.
In today's edition, Isaac argues that Wal-Mart's future as a global retail leader looks shaky. Over the past decade, its stock stagnated, whereas Amazon.com's shares have soared. For Amazon to overtake Wal-Mart as the world's largest retailer in non-grocery goods, the e-retailer would have to grow by 27% each year to 2017, well below its growth of recent years. But there are other issues plaguing Wal-Mart, including an evident indifference to shareholders that allowed the Mexico bribery scandal to escalate, the fact that rock-bottom prices from competitors threaten to steal less affluent consumers, and the reduced attractiveness of locations of one-stop-shops for Wal-Mart around the country. Watch the video to find out why Isaac made a negative CAPScall on Wal-Mart recently.
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