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Here's a chart showing the S&P 500's CAPE ratio alongside the long-term (100-year) average CAPE ratio, covering the period from 1921 to the peak of the last bull market.
In today's Chart of the Day, Yahoo Finance anchor Madison Mills analyzes Deutsche Bank's latest assessment of the S&P 500 (^GSPC) CAPE ratio — or its Cyclically-Adjusted Price-to-Earnings Ratio ...
Amid a historic rebound, the S&P 500 has hit another all-time high after flirting with correction territory just three months ago in March. With the S&P 500 dropping more than 10% in March from its ...
The CAPE ratio for the S&P 500 index is considered one potential indicator of a future stock market crash. There has been a correlation between market crashes and the CAPE ratio.
Stock valuations are historically high, and are hovering near levels that have preceded big downturns including the 1987 ...
The S&P 500's current CAPE ratio is 35.7, ... Here's a 2021 Bank of America chart showing the impact that starting valuations have on subsequent returns in each of the following 12 years.
The first table below shows the annualized returns of the S&P 500 going forward after CAPE Ratio readings above 25. For a benchmark, the S&P 500 averages about 8% per year since 1928.
That’s the highest multiple since late 2021, when the CAPE ratio was more than 38. The CAPE ratio is at the high end of the range going back to the end of 2004.
Starting CAPE Ratio vs. Real 10-Year S&P 500 Annualized Returns (%) For example: When the CAPE 10 was below 9.6, 10-year-forward real returns averaged 9.8%, well above the historical average of 7.4%.
Economist Robert Shiller’s cyclically adjusted price-to-earnings ratio continues to climb. At the start of November, the CAPE ratio stood at more than 38 compared with 31 at the end of 2023 ...
With Worth’s trend line showing a price-to-sales ratio of 2.6x from the current 2.8x, the Index would fall by 7% from Friday’s close of 5,363 to 4,980. S&P 500 Price-to-Sales Carter Worth of ...
CHART OF THE DAY: The S&P 500's top 7 stocks have soared more than 50 ... you are basically buying a handful of companies that make up 34% of the index and have an average P/E ratio around 50," he ...