Pete Wargent blogspot


'Must-read, must-follow, one of the best analysts in Australia' - Stephen Koukoulas, ex-Senior Economics Adviser to Prime Minister Gillard.

'One of Australia's brightest financial minds, must-follow for accurate & in-depth analysis' - David Scutt, Markets & Economics Editor, Sydney Morning Herald.

'I've been investing 40 years & still learn new concepts from Pete; one of the best commentators...and not just a theorist!' - Michael Yardney, Amazon #1 bestseller.

Monday, 18 May 2020

Richly valued

Valuations stretched again

Risk has remained 'on' following the Fed's Powell and his latest salvo of remarks.

With corporate earnings due to tumble this year, how are those stock valuations looking?

Source: Factset

This is as expensive as we've seen since the tail end of the tech bubble in 2001.

US stocks have been pulled higher, largely driven a number of the mega-cap tech stocks.

Plenty of companies have pulled earnings guidance due to the high level of uncertainty, of course, but this isn't normally a good sign.