When Signals Align
Netflix Inc. (NFLX) is another instance where signals from Portfolio Armor and LikeFolio have aligned. At the end of October, the stock hit our top names, as I noted at the time,
Slope of Hope Blog Posts
Slope initially began as a blog, so this is where most of the website’s content resides. Here we have tens of thousands of posts dating back over a decade. These are listed in reverse chronological order. Click on any category icon below to see posts tagged with that particular subject, or click on a word in the category cloud on the right side of the screen for more specific choices.
Mr. Wizard’s Epic Post (3 of 3)
You can click here for Part 1 and here for Part 2.
Can Caped Crusaders rescue us?
Another valuation method is the Shiller CAPE 10, which stands for Cyclically Adjusted PE Ratio, with a period of 10 years. This metric is cited quite often when claims are made the market is overvalued.
Resources:
http://www.econ.yale.edu/~shiller/data.htm
https://www.multpl.com/shiller-pe
Shiller’s thesis (literally) was that averaging earnings over a period of several years created a valuation measure that could be used to predict future returns, since the longer period tended to smooth out the ups and downs of the economy and give a more accurate picture of corporate fundamentals. The same data we used in the trendline construction can be used to plot the Shiller CAPE.
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