⚠️CHART OF THE WEEK: AI bubble has grown bigger than the 2000 Dot-Com Bubble
Valuations of the top 10 S&P 500 stocks are now higher than during the internet boom
The top 10 S&P 500 stocks' forward price-to-earnings (P/E) hit ~30x, much higher than the 25x seen during the 1990s Dot-Com Boom.
Excluding the top 10, the S&P 500 valuation is only below the 2020 pandemic levels. In other words, the market has almost never been so expensive.
More on valuations and future expected returns in the below articles:
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