Equity Risk Premium – 12-Month Forward Earnings Yield Minus Real 10-Year Government Bond Yield The Equity Risk Premium has increased over the last few months. Image: BCA Research
S&P 500 Equity Risk Premium – Consensus Bottoms Up Earnings Yield – 10-Year Treasury Yield The S&P 500 Equity Risk Premium has increased over the last few months. Image: Morgan Stanley Research
S&P 500 NTM Earnings Yield Gap The S&P 500 earnings yield gap is expected to move towards its long-term average. Image: Goldman Sachs Global Investment Research
Real Earnings Yield – S&P 500 12-Month Forward Earnings Yield Minus 10-Year TIPS Breakevens Is the S&P 500 real earnings yield now bearish for the U.S. stock market? Image: Topdown Charts
Valuation – World Technology 12-Month Forward Earnings Yield Minus 2.5% and U.S. 10-Year Treasury Bond Yield Tech stocks are less attractive, as the world tech 12-month forward earnings yield minus 2.5% has reached the upper limit to bond yield. Image: BCA Research
S&P 500 NTM Earnings Yield Gap – Earnings Yield Gap vs. Inflation and U.S. Treasury Yield The earnings yield gap vs. U.S. 10-year Treasury yield is low, but still above its long-term average. Image: Goldman Sachs Global Investment Research
S&P 500 Earnings Yield and U.S. 10-Year Treasury Yield Higher U.S. 10-year Treasury yields would weigh on U.S. equities. Image: Richardson Wealth
Valuation – Real Forward Earnings Yield vs. S&P 500 Index Is inflation transitory? The S&P 500 looks expensive with real earnings yields at record lows. Image: Lohman Econometrics
Valuation – S&P 500 Real Earnings Yield The S&P 500 real earnings yield has fallen into negative territory and is at a 40-year low. Image: Bloomberg
Valuation – S&P 500 NTM P/E vs. Gap Between S&P 500 Earnings Yield and U.S. 10-Year Treasury Yield Goldman Sachs expects a roughly flat S&P 500 P/E multiple through 2022. Image: Goldman Sachs Global Investment Research