/biz/ - Business & Finance

>>51565992
2023 S&P 500 earnings: 220
PE ratio when PCE inflation is 4%: 16.5

220 X 16.5 = 3630

so if earnings come in lower, or bond yields go higher, we are fucked

>>51386292
The S&P500 minus the top 10 companies is trading at 14.6x P/E Ratio. The historical median is 14.9. The top 10 are trading at 24.7x. So we have come down a ton, and most of the market is fair value. In downtrends we can overcorrect to the downside, but I would say we are closer to the end

>>51344507
>>51344433
when core pce is around 4%(it could be here next year, currently its 4.6%) your average PE is around 16.5.

analysts estimates for sp500 earnings next year is 245, which is too high, if it goes down to 200 we have an Sp500 of 3300, and if its 220 we get an sp500 of 3600; the low we experienced. i do think we can retest the lows

>SP500 Top 10 PE Ratio is 24.7
>SP490(Minus the Top 10) is 14.6
>The average PE is 16.6

the market minus the top 10 of the index, is unironically cheap