Return and Valuation – Stocks with EV/Sales Ratios Above 20x as Share of U.S. Equity Trading Volumes and Market Capitalization The median stock with an EV/sales ratio above 20x has generated a subsequent 12-month return of -1% since 1985. Image: Goldman Sachs Global Investment Research
Short Interest as % of Market Capitalization S&P 500 Median Short interest on the S&P 500 stands now at 1.5%, the lowest level since 2004. Image: Goldman Sachs Global Investment Research
Top 5 Stocks as % of S&P 500 Market Capitalization Is it a bull trap? The S&P 500 remains more concentrated in the five largest stocks than during the dotcom bubble. Image: BofA Global Investment Strategy
Valuation – Tesla and Market Capitalization of Select Auto Manufacturers Tesla’s market capitalization is higher than the world’s top seven car manufacturers combined. How long can it last? Image: Axios
Market Capitalization of the Largest Companies Included in the S&P 500 Index Tesla is the largest company to be added to the S&P 500 index. Image: Statista
Valuation – U.S. Market Capitalization to GDP and Cyclically Adjusted P/E (Shiller CAPE) U.S. market capitalization to GDP is at all-time high. Image: Goldman Sachs Global Investment Research
Median S&P 500 Stock Short Interest as % of Market Capitalization Median S&P 500 stock short interest stands at 1.6%, the lowest level since 2004. Image: Goldman Sachs Global Investment Research
Top 5 Stocks % of S&P 500 Market Capitalization Is it a bull trap? Image: BofA Global Investment Strategy
Percent of S&P 500 Market Capitalization Held by the Five Largest Stocks This chart highlights the current level of concentration in the five largest stocks. Image: BofA Research Investment Committee
S&P 500 Return – Equity Market Trends Around U.S. Capital Gains Tax Rate Hikes Equity prices tend to decline around U.S. capital gains tax hikes, but are likely to be short-lived. Image: Goldman Sachs Global Investment Research