Walmart stock trading at high P/E ratio, outperformed market, but appears expensive compared to peers

From Zacks Investment Research: 2025-06-10 11:20:00

Walmart’s forward P/E ratio of 36.07X is concerning compared to industry averages. Despite this, the company’s shares have risen 11.4% in 3 months, outperforming the market. E-commerce sales grew by 22% globally, with double-digit growth in ad revenues and memberships in Q1. Walmart’s diversified business model and strong fundamentals have positioned it well in the retail space. However, its stock appears relatively expensive compared to peers. Kroger, Target, and Ross Stores trade at lower multiples. Walmart’s value score is a C, indicating limited value appeal at current price levels. Investors should consider growth potential against valuation before deciding.



Read more at Zacks Investment Research: Walmart Stock Trades at a Premium Valuation: How to Play the Stock – June 10, 2025