Hints and tips:
...If you take the Magnificent 7 out of the S&P 500, its multiple moves from 22 to 19. The S&P 350 is at 14....
...Thus only a fraction of overall AUM is deployed in strategies that have a direct impact on the VIX® index (e.g. 1-month over/underwriting strategies on the S&P 500 index)....
...The forward P/E of the Mag 7 is 31. The rest of the S&P 500, excluding the Mag 7 and four stocks with negative expected earnings, has a forward P/E of 19....
...The S&P 489 has a weighted average P/E of 24, cheaper than the whole index, but not by much....
...On a forward P/E basis, the S&P 500’s 2021 (harmonic) average was 23, versus an average of 22 in the past four months and 18 in the past three decades....
...Looking at a 20-year chart of the price/earnings valuations of the S&P 500 and its small cap sibling the S&P 600, it seems possible that this is what has happened to small stocks: Small caps (dark blue...
...If you have any exposure to the S&P 500, then the S&P 500, the biggest index on the planet, is dominated by these names. Claer Barrett Even global indices. Katie Martin Even the global indices....
...Japanese stocks traded on a P/E of 67x in 1990. The Nifty 50 traded on a P/E of 34x in 1973....
...In our view, this probably explains their strong re-rating (forward P/E of 27.2x), and why they are trading at a 110% premium to the STOXX 600 (13.0x)” wrote....
...30x P/E multiple is sustainable given rest of the index trades at 18x,” write Goldman’s David Kostin and team....
...By September last year, all three had covered more than half of their respective 2024 production at prices above $3/mn Btu, according to S&P Global Market Intelligence....
...High multiples on which they trade have pushed the broader S&P 500 Shiller price-to-earnings ratio, aka the cyclically adjusted p/e ratio (CAPE), up from less than 30 times in late 2022 to 34 times....
...For a stock that is expected to increase earnings below the S&P 500’s average pace this year and next, that’s still a lot....
...I would not want to bet that the Mag 7 would revert to a growth rate of profits near the S&P 500 average (mid-high single digits) in the next five years....
...Stocks with low P/E ratios relative to their expected growth rates are rare....
...Payments company Visa, for example, had received a two for “E” and “S” and a three for “G”....
...In the median experience since 1984, the S&P 500 forward P/E has declined by 2% in the 12 months preceding Election Day....
...In 2021, S&P started publishing numbered scores from 1 to 5 for the three E, S and G categories as part of corporate credit scores....
...TCI made $12.9bn for investors and ended last year up 33 per cent, ahead of the S&P 500 index’s 24 per cent rise....
...Another knock on this market is that it is not as strong as it appears, in that almost all the gains of the S&P 500 come from the magnificent seven tech stocks....
...The P/E relative of the stock on UBS 2026E EPS (against the market) goes to a record high of 152% on the UBS forecast of earnings. 2....
...Ticker symbols have taken on an outsized importance in the exchange traded fund world, where pursuit of the kind of name recognition enjoyed by funds such as SPY, the SPDR S&P 500 ETF, has become the holy...
...For instance, just one tech company’s recent gains added the equivalent of the market capitalization of the bottom 100 companies in the S&P 500, and the size of the crypto market doubled since last fall....
...Of this gamma supply, ~70% is on the S&P 500/SPY options,~25% is in Nasdaq/QQQ, and the remainder is a variety of index/ETF exposures (mainly Russell 2000, MSCI EAFE, and MSCI EM) and single names (mainly...
...S&P puts the group’s risk-adjusted capital ratio at about 12 per cent, less than most banks core capital....
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