Walmart’s Google AI integration highlights key beneficiaries in agentic commerce, with Affirm and Alphabet outperforming peers in growth and margins.
Alphabet’s Google AI powers Walmart’s new Gemini shopping experience, positioning it as a top beneficiary of agentic commerce. Mastercard settles transactions, posting a 61% adjusted operating margin, while Affirm reported its tenth consecutive quarter of 30%+ GMV growth and GAAP net income of $103 million.
Affirm’s growth contrasts with PayPal’s struggles, as its shares fell 22% year-to-date. PayPal’s Q1 non-GAAP EPS of $1.34 beat expectations, but GAAP operating margin contracted 182 basis points to 17.8%, and Q2 EPS is guided to decline 9% year-over-year. Total payment volume reached $463.95 billion, up 7.2% annually.
The shift toward AI-driven retail infrastructure favors companies central to browsing, checkout, and financing. PayPal’s underperformance highlights challenges in adapting to the new landscape, despite its established checkout presence.