Mar 15 2023

[Updated] Stock Market Valuation Ratio Trends [PREMIUM]

published by Steve LeCompte
in blog CXO Advisory
original entry[Updated] Stock Market Valuation Ratio Trends [PREMIUM]

fundamental valuation

To determine whether the stock market is expensive or cheap, some experts use aggregate valuation ratios, either trailing or forward-looking, such as earnings-price ratio (E/P) and dividend yield. Under belief that such ratios are mean-reverting, most imminently due to movement of stock prices, these experts expect high (low) future stock market returns when these ratios.........