Whither the markets?

Re: Whither the markets?

This is a serious question. So I will give a serious response.

The markets P/E based on inflation adj last 10 yr earnings is 25. Median is 16.5. So per this 51% overvalued.
Market p to e based on last 10 yrs 18. Median I think 14.5? So 20% overvalued.

Average is 35% of above two.

So fair value 100 means mkt 135.

Coukd drop 35. That is 25%. Or 470 pts in sno500. From 1870 to 1400.

But it could keep trundling along for next 3 to 5 years till earnings catch up.

I have detailed analysis in undervalued stock thread. Above is from memory.