Sentences with phrase «internal valuations of its stock»

Mutual funds such as Fidelity that own Uber shares have not changed their own internal valuations of its stock, as they disclosed in new filings this week.

Not exact matches

I've long noted that the analysis of market action can help to overcome some of this frustration, as stocks have often provided good returns despite rich valuations so long as market internals were strong, and the environment was not yet characterized by a syndrome of overvalued, overbought, overbullish, and rising yield conditions.

The decisive factors for the stock market are liquidity (i.e., money supply growth rates, which have collapsed), valuations (extremely high valuations will eventually be corrected, often violently) and market internals & technical divergences (which are a reflection of liquidity and risk appetites).

As usual, I don't place too much emphasis on this sort of forecast, but to the extent that I make any comments at all about the outlook for 2006, the bottom line is this: 1) we can't rule out modest potential for stock appreciation, which would require the maintenance or expansion of already high price / peak earnings multiples; 2) we also should recognize an uncomfortably large potential for market losses, particularly given that the current bull market has now outlived the median and average bull, yet at higher valuations than most bulls have achieved, a flat yield curve with rising interest rate pressures, an extended period of internal divergence as measured by breadth and other market action, and complacency at best and excessive bullishness at worst, as measured by various sentiment indicators; 3) there is a moderate but still not compelling risk of an oncoming recession, which would become more of a factor if we observe a substantial widening of credit spreads and weakness in the ISM Purchasing Managers Index in the months ahead, and; 4) there remains substantial potential for U.S. dollar weakness coupled with «unexpectedly» persistent inflation pressures, particularly if we do observe economic weakness.

Again, if our measures of market internals were to improve, we would allow for the possibility that reliable measures of market valuations could surpass their 2000 extreme, and we would not place a «cap» on how high stock prices could move.

Given rich global stock market valuations, slumping quality of internal market action, and rising global interest rates, this is not an appropriate time to accept significant market risk.

Presently, deteriorating stock market internals suggest fresh skittishness among investors, which coupled with still - rich valuations (on the basis of normalized earnings) often results in particularly negative outcomes for stocks.

As of last week, the Market Climate for stocks was characterized by unfavorable valuations (we estimate a 10 - year S&P 500 return of about 4.8 % annually), overbought conditions, and mixed market internals.