Sentences with phrase «valuation peaked in»

Not exact matches

So if we look at a range of market valuation measures, whether it's Shiller CAPE, whether its price - to - book, whether it's price - to - trailing earnings, price - to - peak earnings, when we look at these measures, they look like they're in the, what we would call, the 10th decile, meaning generally, valuations are cheaper 90 % of the time.

The differences in opinion arise primarily over valuation and whether its rapid growth can continue to justify a price - to - earnings ratio that rarely falls below 40 and has peaked as high as 138.

My partner Mary Meeker has a graph and it shows the peak of valuation creation in each wave of technology is bigger than the last.

Back in 2000 at the dot - com peak, it was seven times, so you know, so I don't think it's necessarily a valuation problem, but obviously it's been a big momentum play.

Less than two years ago, the company was riding high, experiencing explosive growth, but things peaked in the summer of 2013, when it raised $ 150 million in funding at a valuation of $ 1 billion.

At Lululemon's stock peak in the summer of 2011, the yoga - and running - gear maker commanded a market valuation that was 350 % higher than rival Under Armour.

And while the S&P 500's price compared to earnings expectations is nearly 50 percent above the low levels exhibited in the summer of 2011, valuations have fallen significantly below the July peak.

The market is super frothy IMO and it reminds me a lot of 2007/08... everything is way up in value, company valuations are at a peak... take the money and run my man!

These Fed - induced speculative valuations are now evident across the board, as the median price / revenue multiple on S&P 500 components (as well as S&P 1500 components) is now the highest in history, easily exceeding the 2000 peak.

The problem is that record - high valuations at the peak usually create a mania in the market, pushing asset prices even higher.

The graph shows that average valuations are generally better globally than they are in the US on a pure price - to - peak earnings basis.

While a number of simple measures of valuation have also been useful over the years, even metrics such as price - to - peak earnings have been skewed by the unusual profit margins we observed at the 2007 peak, which were about 50 % above the historical norm - reflecting the combination of booming and highly leveraged financial sector profits as well as wide margins in cyclical and commodity - oriented industries.

Even the 4 % annual total return of the S&P 500 in the 15 years since the 2000 peak has been made possible only by driving current valuations to the second most extreme point in U.S. history.

While it's true that the market established even deeper valuation troughs in 1974 and 1982 (near 7 times prior peak earnings, compared with the current multiple of about 11), it is important to remember that long - term Treasury yields were 8 % in 1974, and 14 % in 1982, compared with about 4 % at present.

The favorable market performance associated with many historical economic expansions is fully accounted for by 1) favorable post-recession valuations, with the S&P 500 averaging less than 9 times prior peak earnings at the recession low, expanding to just over 11 times peak earnings in the first year of the bull market, and 2) favorable trend uniformity, which typically emerges almost immediately in the form of a powerful breadth thrust off of a bear market low, and is confirmed within a few weeks by much broader trend uniformity.

In recent cycles, because of relatively higher valuations at the market peak, the completion of the market cycle has wiped out years of prior market gains.

You'll notice that the overvaluation at the 2000 peak was really dominated by extreme valuation in the top decile of price / revenue ratios.

He said the following about Sun's peak valuation in 2000 (it was one of the stocks trading at more than ten times sales at the time):

I've noted before that while the bubble peak in 2000 was the most extreme level of valuation in history on a capitalization - weighted basis, the recent speculative episode has actually exceeded that bubble from the standpoint of speculation in individual stocks.

Higgins adds that valuations were much more frothy: «Back [in the 90s], the price / 12m trailing operating earnings ratio of the S&P 500 climbed to around 30 at its peak, which was roughly double its level in 1994.

The Importance of Measuring Returns Peak - to - Peak Stock returns equal income, plus growth in fundamentals, plus changes in valuation By John P. Hussman, Ph.D..

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.

But valuations, even on a price / peak - earnings basis, are now in the same range as the 1929, 1972, and 1987 peaks.

As Graham and Dodd wrote in Security Analysis (1934), referring to the final advance that led to the 1929 market peak, the reason investors shifted their attention away from historically - reliable measures of valuation was «first, that the records of the past were proving an undependable guide to investment; and, second, that the rewards offered by the future had become irresistibly alluring.»

And with corporate profits still well below their previous peaks and valuations as of November 2017 looking fair given the more promising economic environment, European equities look to us to be potentially poised for another solid year in 2018.

In fact, Flipkart had experienced several valuation markdowns by American mutual funds, including Vanguard Group, Fidelity, Valic Co. and T Rowe Price, throughout 2016, compared to its peak of $ 142.24 in June 201In fact, Flipkart had experienced several valuation markdowns by American mutual funds, including Vanguard Group, Fidelity, Valic Co. and T Rowe Price, throughout 2016, compared to its peak of $ 142.24 in June 201in June 2015.

The S&P 500 registered a record high after an advancing half - cycle since 2009 that is historically long - in - the - tooth and already exceeds the valuation peaks set at every cyclical extreme in history but 2000 on the S&P 500 (across all stocks, current median price / earnings, price / revenue and enterprise value / EBITDA multiples already exceed the 2000 extreme).

U.S. dividend stock valuations have come down since peaking in late July amid investors» search for yield, and they are now more in line with those of the broader market.

At the market's actual 2000 peak, valuations were so high that even a future price / peak earnings ratio of 20 could have been expected to result in a nearly zero annualized returns over the following 10 years.

The «canonical» market peak typically features rich valuations, rising interest rates, often a reasonably extended and «flattish» period where, despite marginal new highs, momentum has gradually faded while internal divergences have widened, and finally, an abrupt reversal in leadership, from a preponderance of new highs over new lows (both generally large in number) to a preponderance of new lows over new highs, with the reversal often occurring over a period of just a week or two.

I emphasized issues like valuations and peak - to - peak returns in the semi-annual report, because the period of unusual overvaluation since 2000 might otherwise leave shareholders with an inaccurate understanding of «characteristic» performance for the Strategic Growth Fund.

To be sure, not surprisingly, market peaks in the higher inflation, higher rate environment of the late 1960s to the mid-1980s tended to occur at a lower valuation, not far from where we are today.

In Q2, the UK housebuilding sector * conjured up its own Peak District and broke new high ground on no less than eight climbs — and on 31 May a new all - time pinnacle valuation of # 38.3 billion was conquered.

On the subject of valuations, I believe that the peak level of earnings seen in the past market cycle was somewhat high, so I'd agree with Bill Gross at PIMCO in the sense that we're not likely to see that level of earnings as the «norm.»

In an interview last week after the Standard & Poor's 500 hit yet another peak, Yale professor Robert Shiller noted that stock valuations were near levels that preceded meltdowns in the past and thus were «a cause for concern.&raquIn an interview last week after the Standard & Poor's 500 hit yet another peak, Yale professor Robert Shiller noted that stock valuations were near levels that preceded meltdowns in the past and thus were «a cause for concern.&raquin the past and thus were «a cause for concern.»

The secular bull market that ended in 2000 took valuations dramatically above anything seen even at the 1929 peak.

U.S. stocks are not in a bubble ---- valuations remain significantly below the peak in 2000 ---- but that is not the same as being cheap, or even fairly priced.

To be sure, not surprisingly, market peaks in the higher inflation, higher rate environment of the late 1960s to the mid-1980s tended to occur at a lower valuation, not far from where we are today.

The sell - side in these types of situations tends to value companies at peak multiples of trough earnings, and only shifts to the more mid-cycle earnings and valuation we use when there's clear evidence the cycle has turned.

Given what his price / peak earnings tells him about the market's current valuation (stomach - churningly high) and his perception that several of the supporting investment elements that have so far made valuations irrelevant are starting to break down, what's he doing with the portfolios in his care?

Since Run 6 starts from today's valuations, this peak would occur in 2011.

Should we fear the lofty valuation multiples, or should we fear the CAPE ratio itself, because of its notorious unreliability in picking market peaks and troughs?

Since Run 4 starts at today's valuations, the peak would occur in 2031.

Equally worthy of note, the very same valuation measures during the bullish peaks in the 20 - year period never approached the mindless extremes that exist at present.

As I mentioned earlier, the median price - earnings ratios (P / E) and price - sales ratios (P / S) actually surmounted the peaks at the end of the last two bull market cycles — the metrics went beyond the valuation peaks hit in 2000 and in 2007.

The peaks in momentum's performance — when we see the performance spikes and crashes — almost always coincide with peaks in momentum's relative valuation.

The maximum sustainable withdrawal rate (MWR) for retirees may continue declining even after the peak in earnings valuations in 2000.

Of course, none of this is to say a bear market can't occur, but overall, a healthy earnings environment has kept valuations from approaching the levels that marked the peak back in 2000.

From Professor Robert Shiller's «Irrational Exuberance» Second Edition 2005, chapter 12, page 207: «The high valuations that the stock market attained at its peak in 2000, and the relatively high valuations that it still shows today, came about for no good reasons..»

Particularly for the last 35 years, more than half of stocks» real return came from rising valuations as dividend yields tumbled off their peak of 6.4 % in August 1982 to rest at a meager 2.1 % as of June 30, 2016.