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S&P 500 Forward PE Ratio At Highest Level Since 2004

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Mark Melin
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Updated on
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The price in the price earnings has been rising while value, or earnings, sinks

Concerned stocks are overvalued? Concerned they might not have a long runway ahead?  If so recent FactSet numbers might get investors thinking about risk management techniques and hedging to a greater degree.

S&P 500
Price has been rising as value falls

 

The forward 12-month price earnings ratio for the S&P 500 broad-based stock index is perched at 17.1 based on yesterday’s closing price, John Butters, Senior Earnings Analyst at FactSet observed.  As the FactSet graphic illustrates, this high level of stock market valuation has not...

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Mark Melin is an alternative investment practitioner whose specialty is recognizing the impact of beta market environment on a technical trading strategy. A portfolio and industry consultant, wrote or edited three books including High Performance Managed Futures (Wiley 2010) and The Chicago Board of Trade’s Handbook of Futures and Options (McGraw-Hill 2008) and taught a course at Northwestern University's executive education program.