The Capital
Published in

The Capital

Stock Market Valuations Remain High Despite Market Weakness

What Does That Say About Future Returns?

Photo by Behnam Norouzi on Unsplash

A basic premise of investing is that the price you pay has a major influence on the ultimate return of that investment. From this notion comes the fabled “buy low sell high” philosophy.

The chart below illustrates that as forward S&P 500 P/E ratios reach the high teens’…

--

--

Get the Medium app

A button that says 'Download on the App Store', and if clicked it will lead you to the iOS App store
A button that says 'Get it on, Google Play', and if clicked it will lead you to the Google Play store