This chart is from John Hussman’s latest comment. It shows the price-to-sales ratio of the typical S&P 500 stock. The typical stock is now trading near a historic peak in relation to sales. With valuations so high, if you are still counting on double-digit returns to fund your retirement, this chart should give you pause.
The following two tabs change content below.
Jeremy Jones, CFA
Jeremy Jones, CFA is the Director of Research at Young Research & Publishing Inc., and the Chief Investment Officer at Richard C. Young & Co., Ltd. Jeremy is a contributing editor of youngresearch.com.
Latest posts by Jeremy Jones, CFA (see all)
- Can China’s Stop-and-Go Market Reforms Work Forever? - August 18, 2017
- Is China Hiding an Avalanche of Debt? - August 17, 2017
- How Will the World Handle Such Unprecedented Central Bank Balance Sheets? - August 16, 2017