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 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 

Walmart is too expensive for its growth. Its P/E is twice Nvidia's while it grows only about 4%, whereas Nvidia just posted triple-digit year-over-year growth. Women's clothing going viral is not enough reason to go long. 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 

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 

Nvidia looks interesting again because rising earnings estimates have not been reflected in its valuation. FY28 EPS estimates rose about 25% in 60 days while shares stayed roughly flat; it trades below 14 times FY28 earnings with a mid-single-digit free-cash-flow yield. Exponential change is hard to grasp, and it is hard to see Nvidia not winning if the US does, though there is little capital to absorb market wobbles. x.com  x.com 

AI skepticism leaves Nvidia, Broadcom and Micron looking cheap on forward earnings. Their forward P/E ratios are 14, 18 and 5, respectively; the market may eventually stop doubting AI. x.com