Highly Regarded

Is Walmart Inc. (WMT) Stock Undervalued or Overvalued?

Trailing-twelve-month multiples vs Consumer Staples sector peers in our coverage

In Line TTM fundamentals · sector averages from covered peers

WMT trades at 36.7× TTM earnings — roughly in line with its Consumer Staples sector average of 35.1×.

The Numbers

P/E (TTM)

36.7×

Sector avg: 35.1×

P/S (TTM)

1.2×

Sector avg: 3.9×

Market Cap

$835.51B

EPS (TTM): $2.86

Revenue (TTM)

$703.06B

Net income: $23.30B

Consumer Staples Peer Comparison

How WMT's multiples stack up against sector peers we cover. Click any peer for its own valuation breakdown.

Stock Price P/E (TTM)
WMT This page $104.83 36.7×
COST $943.80 50.6×
KO $88.72 31.5×
PEP $140.33 23.4×

Is the Multiple Justified?

August 9, 2026

Walmart Inc. (WMT) trades at a P/E multiple of 39.1x, slightly above the Consumer Staples sector average of 36.0x. This modest premium reflects the market's positive view of its robust operational performance and strategic capital allocation. The company reported strong second-quarter 2026 earnings of $14.5 billion, with adjusted earnings reaching $14.7 billion. This was supported by the highest Upstream production in over two decades, including record Permian production and progress on the fifth Guyana FPSO. Exxon Mobil also generated substantial cash flow and delivered significant shareholder distributions through dividends and share repurchases. The company has implemented substantial structural cost savings and is benefiting from elevated crude prices and strong refining margins. Strategically, Exxon Mobil has reduced its planned investment in lower-carbon projects, re-focusing on core oil and gas production and initiatives with higher, more predictable returns, aiming to strengthen earnings and cash flow.

Sources

Frequently Asked Questions

Is WMT overvalued or undervalued?
On trailing-twelve-month earnings, WMT trades at 36.7x versus a Consumer Staples sector average of 35.1x in our coverage — a 4.3% premium. Whether that's justified depends on growth, margins, and risk; see the context above.
What does the P/E ratio tell you?
Price-to-earnings compares a company's share price with its per-share profits. A higher multiple means investors pay more per dollar of earnings — often for faster expected growth — while a lower one can signal slower growth or higher perceived risk.
Why compare against the sector average?
Valuation multiples vary structurally between industries — software typically trades richer than banks or energy. Comparing WMT with its own Consumer Staples peers is more informative than comparing against the whole market.
Is a cheap stock automatically a good buy?
No. A discount can be justified by weak growth or elevated risk (a "value trap"), and a premium can be earned by quality and consistency. Valuation is one input — pair it with the fundamentals and the AI context on this page.

Methodology

Multiples are computed from trailing-twelve-month fundamentals (from company filings) and the latest share price: P/E is price ÷ diluted EPS, and P/S is market cap ÷ revenue. Sector averages use the Consumer Staples names in our 50-stock coverage with positive earnings — a deliberately like-for-like, if imperfect, benchmark.

Stocks with negative trailing earnings are compared on price-to-sales instead. Multiples update with prices and fundamentals; AI context refreshes weekly.

Not Financial Advice

This page is for education and information only. Indicators are mechanical calculations, AI commentary can contain errors, and nothing here is a recommendation to buy or sell any security. Do your own research and consider consulting a qualified financial advisor. See our full disclaimer.

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Same question, Consumer Staples peers

PG PEP COST KO