Here's why Wall Street thinks Walmart's move to buy TikTok makes sense

Companies have been scrambling to advertise and sell on apps like TikTok and Facebook's Instagram, where shopping has surged

Wall Street was swift to see the rationale behind Walmart Inc jumping into the fray to buy TikTok - access to millions of young, digitally savvy users who could help the 60-year-old company boost its online sales.

The retailer revealed plans to join Microsoft Corp in a bid for the social media firm's US assets on Thursday, hours after the video company's chief executive said he would step down.

Analysts said Walmart picking up a stake in the short-form video app, which is owned by China's ByteDance and claims to have about 100 million active monthly users in the United