FYI: One data point that has stood out recently is where valuations stand within their historical ranges (past ten years). As shown below, the only sector with a current valuation that's in the bottom half of its range over the last ten years is Financials. Every other sector is currently trading with a valuation above the 60th percentile.
Utilities and Technology are currently extremely elevated in the 97th and 99th percentiles, respectively. The trailing price-to-earnings ratios for Consumer Discretionary and Communication Services are also in the top 10% of all days of the past 10 years. Finally, the S&P 500 as a whole has a current P/E that is higher than 89.1% of all readings over the last ten years.
Regards,
Ted
https://www.bespokepremium.com/interactive/posts/think-big-blog/technology-sector-valuation-has-gotten-elevated
