How to Buy Wal-Mart Stock
Wal-Mart is the world's largest retailer of consumer goods, with more than 5,000 Wal-Marts, Super Centers and Sam's Clubs worldwide. Since its initial public offering in 1969, Wal-Mart has maintained a solid record of earnings and growth, making it a popular choice for many investors. There are two ways to buy Wal-Mart stock. Wal-Mart is a NYSE listed company (stock symbol WMT), and you can purchase shares through any broker. Wal-Mart also offers a direct stock purchase plan (DSPP)--a good way to buy the stock if you want to save on transaction fees, or have limited funds to invest.
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Instructions
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Decide if you want to open a Wal-Mart DSPP or purchase stock through a broker. A Wal-Mart DSPP allows you to start investing for as little as $25 per month, and features low fees. With a discount brokerage account, you will pay slightly more to purchase the stock, and the initial investment must be higher. Buying the stock through a brokerage account will give you more flexibility.
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Open a cash account with a discount broker. You need a valid photo ID (driver's license or state/military ID) and a minimum of around $1,000 to open an account with most brokers. Once your account is set up, call your broker and place an order to buy Wal-Mart stock.
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Enroll in a Wal-Mart DSPP. Wal-Mart uses Computer Share as its transfer agent for direct stock purchase plans. Print the plan brochure and enrollment form at the Computer Share website (see Resources). The initial investment requirement is $250, which can be made in $25 monthly installments by setting up automatic debiting from your bank account. There is a one-time $10 setup fee. Transactions cost $1 if you use electronic funds transfer ($5 if you pay by check) plus $.05 per share.
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Decide which plan fits your needs. You can set up a Wal-Mart DSPP as a traditional- or Roth IRA, or as a Coverdell Education Savings Account. The plan also allows you to reinvest dividends at no cost, and store your stock certificates free of charge. You may invest additional money in increments of $25 to $15,000 per year.
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Tips & Warnings
It costs more to sell Wal-Mart shares from a DSPP than from a brokerage account. A sales fee of $30 plus $.05 per share is assessed per transaction, so it's advisable to sell stock in fairly large amounts.
