Homrich & Berg says S&P 500 valuation hinges on consensus 27.8% earnings growth forecast
Bitget2026/10/13 16:14- Homrich & Berg flagged a widening valuation split that leaves US equities dependent on consensus earnings forecasts.
- S&P 500 trades at 24.7x trailing earnings versus 19.2x forward, a spread 2.2 standard deviations above the post-1995 average.
- Consensus expects 27.8% earnings growth; the report warned that missing the bar could trigger volatility or a pullback.
- Equal-weighted S&P 500 looks cheaper at 18.3x trailing and 16.1x forward, both below five-year averages.
- Russell 2000 is 55.8% cheaper than the S&P 500 on forward sales despite a 12.5% year-to-date rally.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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