Bloomberg Surveillance · Friday, August 14, 2026
Sarah Hunt discusses Walmart's strong performance, noting that investors value consistency, especially in long-term compounders. While Walmart has delivered significant returns, the current high P/E multiple raises questions about whether this valuation is sustainable given potential future growth.
“Nominal GDP proxy five six seven percent total return the last ten years, eighteen percent per year, and I got it's popping. It's a poping a forty two present pe multiple. Are we that in love with the American consumer?”
“I think we're that in love with consistency, And I think the consistency is one of those things where people are always looking for that kind of long term compounder. So is that a price at which we can continue to long term compound if they continue to grow sales, that consistency gets paid for. But I think that that's one of those questions that, like everything else with valuations, is where people start to get concerned about where things are relative to where they can go.”