agip wrote:
Ghost of Igloi wrote:
Yes, some bubble at 47% above the median value.
do you think companies in 2018 should have the same PE multiple as companies in 1918?
or do you think globalism, tech, higher education, freer markets etc..have made companies more profitable than 100 years ago and therefore should have a higher PE?
ship,
Stock buybacks were once illegal, GAAP accounting was once the norm, the Fed Balance Sheet was once $900 Billion, the average age of an American was once 40, and the 10 Year Treasury Yield was once 6%. Of course I could add the current state of all levels of government debt and the lack of any fiscal discipline. Now if you believe that the current state of these factors doesn’t matter than your view is correct.
Igy