There may be just as many opportunities in the market today as there were seven years ago.

Since reaching the bear market bottom in October 2022, the S&P 500 has been on an absolute tear. It produced a total return of 26% in 2023, just to follow it up with a 25% return in 2024. Despite some hiccups in 2025, the index has still returned nearly 14% year to date as of this writing. That's an 80% total return in less than three years.

But stock prices have climbed higher faster than the underlying fundamentals of the businesses behind them. As a result, the S&P 500, in aggregate, has become extremely expensive. The CAPE ratio surpassed 40 for only the second time in history. The standard forward P/E measure for the S&P 500 also sits at an elevated level of 22.6, a valuation we've rar

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