Walmart's $5.6M Settlement Amid 35th-Ranked $1.86B Trading Volume as Legal Scrutiny Intensifies

On August 12, 2025, Walmart (WMT) closed with a 0.30% decline, trading at a daily volume of $1.86 billion—a 39.45% increase from the prior day, ranking 35th in market activity. The retailer reached a $5.6 million settlement with four California counties over allegations of overcharging customers and selling underweight products, including produce and baked goods. The Santa Clara County District Attorney’s Office highlighted violations of state False Advertising and Unfair Competition Laws, with penalties covering civil fines, investigative costs, and mandatory staff training for pricing accuracy in California stores.

This settlement follows a 2012 agreement where Walmart paid $2.1 million for similar violations. The company faces ongoing legal scrutiny, including a recent lawsuit from the Trump Organization over counterfeit-branded products. Legal challenges coincide with Walmart’s efforts to adapt to macroeconomic pressures, with reports of exploring "dark stores" as part of growth strategies. The latest settlement reinforces regulatory focus on pricing transparency, though direct compensation for affected customers remains unspecified.

The strategy of buying the top 500 stocks by daily trading volume and holding them for one day resulted in a moderate return. From December 2021 to August 2025, the total profit was $2,940, with a maximum drawdown of $-1,960. The strategy’s average daily return was 0.24%, with a Sharpe ratio of 0.67 and a maximum Sharpe of 1.2 over the past four years.