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Pastimes : Clown-Free Zone... sorry, no clowns allowed

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To: Box-By-The-Riviera™ who wrote (165340)5/12/2002 8:57:05 PM
From: John  Read Replies (2) of 436258
 
Good stuff from Zeal...

zealllc.com

Excerpt:

"As of April 30th, the last time we calculated this number at Zeal, the elite NASDAQ 100 stocks, which constitute roughly 2/3 of the total market capitalization of the NASDAQ composite, had a market-capitalization weighted-average P/E ratio of 56.2! This staggeringly high number is vastly overvalued by all historical standards and implies that the elite NASDAQ stocks can only manage to earn enough meager profits today to fully cover the price that investors are now paying for the stocks in 56 more years, ceteris paribus. Needless to say most investors today won’t be around 56 years from now and this extreme fundamental valuation is ludicrously high!"

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John
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