Walmart and Costco are very overvalued while Nvidia is undervalued: per Charlie Bilello, Costco trades at 45x forward earnings, Walmart at 36x and Nvidia at 17x. A high multiple can be justified for a growth company like Nvidia, but not for Costco and definitely not for Walmart. x.com  x.com 

Walmart's 43.28x earnings multiple makes the stock impossible to buy for a long time. Its historical median is 31.13x, and even at 30x it would not be attractive. x.com 

Walmart has the strongest fundamentals in retail, with $725B+ of revenue, exploding e-commerce and market-share gains while rivals bleed. It is a defensive cash-printing machine in a shaky economy, and analysts rate it a moderate buy with $140+ targets. x.com 

Walmart's P/E of about 50 is hard to justify with only about 5% growth, while Alphabet, Apple, Amazon, Meta and Nvidia trade at 20-45 times earnings and all grow far faster. x.com 

Walmart is expensive at 40 times forward earnings on a 3% net margin. That is nearly double Nvidia's 21 times, even though Nvidia earns a 63% margin. x.com 

Walmart may be setting up for a big bounce, with its pullback matching the pattern of its last two bottoms. The stock is down about 25% from its all-time high, as it was before both prior bottoms, which also showed RSI divergence. Its forward P/E has fallen from near 40 earlier this year to a more respectable 31, and it is holding just above the psychological $100 level near a prior breakout area. x.com 

Nvidia's valuation gives too little credit to its expected long-term earnings growth. Its forward P/E-to-growth ratio is 0.28, the lowest since late 2023; the bullish read depends on those growth expectations proving accurate. x.com  x.com 

Nvidia's rising revenue alongside a much lower P/E is getting hard to ignore. Its chart shows quarterly revenue above $80 billion in Q2 2026 while the P/E is around 30x, down from much higher multiples in prior years. x.com 

Walmart keeps compounding through recessions because people never stop eating in bad years; they buy more chicken and less filet, and Walmart sells the chicken. It compounded through the 2001, 2008 and 2020 recessions. Wealth comes from finding a business that never has a truly bad year, not from moonshots. x.com 

Walmart is a great company at a terrible price, trading near 38 times forward earnings while growth slows. Revenue and EPS beat, yet US comparable sales growth slowed to 2.6%, the weakest in six years, and the stock fell. Even after another 10% drop, it is not worth buying. x.com