Walmart‘s CAPE ratio

The CAPE ratio for Walmart compares its current stock price to the average inflation-adjusted earnings over the past 10 years. As a major retailer with stable cash flows, Walmart typically has a moderate CAPE ratio. A high CAPE ratio may suggest that Walmart’s stock is overvalued, potentially leading to lower future returns, while a low CAPE ratio could indicate undervaluation and future growth opportunities. Investors use Walmart’s CAPE ratio to assess its long-term valuation, considering its consistent earnings and dominant position in the retail industry.