S&P 500 Valuation Dispersion on Forward P/E - Value vs. Growth

When valuation dispersion was this high or higher, value stocks tended to outperform growth stocks (95% of the time) over the next 12 months.

Image: BofA Merrill Lynch US Equity & US Quant Strategy

S&P 500 Valuation Dispersion on Forward PE - Value vs. Growth