Miner Company
The Shiller P/E Is Broken, And You Need To Stop Reasoning In Fiat Terms
The S&P 500 appears expensive by traditional P/E ratios, but accounting changes and economic shifts render historical comparisons misleading. Adjusting for stock-based compensation, R&D capitalization, and intangible amortization, the S&P 500 P/E drops from ~29x to ~22–23x—above average, but not at dotcom bubble levels.
The S&P 500 appears expensive by traditional P/E ratios, but accounting changes and economic shifts render historical comparisons misleading. Adjusting for stock-based compensation, R&D capitalization, and intangible amortization, the S&P 500 P/E drops from ~29x to ~22–23x—above average, but not at dotcom bubble levels.