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Aug 24 2020

Output Gap Adjusted Price/Earnings Multiple

  • Aug 24, 2020

As the S&P 500 reaches a new high, investors are increasingly alarmed by its valuation. And rightly so! Nearly every traditional valuation measure suggests the stock market is trading near all-time record levels. If conventional valuation models are accurate, the stock market appears to have very little upside potential and, ultimately, considerable downside risk. 

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About The Author

James Paulsen / Chief Investment Strategist

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