Chart: 10-year trailing Graham ("Real") P/E Ratio. Price of the S&P 500 divided by the 10-year average of earnings, inflation adjusted. Current value (10/31/08): 15.9x Chart: Profit Margin of U.S. Economy. Annualized corporate profits as a percentage of GDP. (A good reason why the Graham P/E Ratio is a better valuation measure than the TTM version.)
Market Valuation Charts: 10/08
Market Valuation Charts: 10/08
Market Valuation Charts: 10/08
Chart: 10-year trailing Graham ("Real") P/E Ratio. Price of the S&P 500 divided by the 10-year average of earnings, inflation adjusted. Current value (10/31/08): 15.9x Chart: Profit Margin of U.S. Economy. Annualized corporate profits as a percentage of GDP. (A good reason why the Graham P/E Ratio is a better valuation measure than the TTM version.)