SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : Buy and Sell Signals, and Other Market Perspectives
SPY 680.44+0.6%Dec 19 4:00 PM EST

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
Recommended by:
Chip McVickar
GROUND ZERO™
mary-ally-smith
To: GROUND ZERO™ who wrote (72228)6/23/2015 5:31:45 PM
From: Joppike3 Recommendations  Read Replies (2) of 220454
 
Thanks! I think a couple of big reasons could contribute to the high P/E:

1. There's been a ton of liquidity pumped into the global economies, a lot of this extra money has gone into the equity markets. Yet the economies everywhere are struggling so there doesn't seem to be any reason why we won't have more QE and lower interest rates for the foreseeable future.

2. Internet stocks have made a resurgence and they tend to have a much higher P/E than average. This makes sense because a lot of tech startups have low overheads, which huge growth potential. We saw this in the late 90s and it seems to be the case now.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext