S&P 500 Forward P/E Ratio Since April, 2006: Chart

Valuations remain elevated for US stocks. For instance, the S&P 500’s forward P/E rose above 20 going into 2018. Since then volatile and declining stock prices have pushed the ratio down to below 17.

The chart below shows the S&P 500 Forward P/E Ratio since April of  2006:

Click to enlarge

Source: Focus on Fundamentals, Legg Mason

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