The Lost Decade: The Alarming Truth About The S&P's Current Valuation

Summary

The video script discusses the current optimism in the stock market, focusing on the S&P 500's price-to-earnings ratio and its historical context. It highlights insights from JP Morgan's market report, including the forward earnings per share estimates and the concentration of the S&P 500 in top 10 stocks. The script also explores consumer health indicators, inflation trends, and the potential impact of AI and data centers on electricity demand. It concludes with an analysis of international markets, suggesting value in non-US and small to mid-cap stocks, and advises investors to temper expectations for future returns due to current market valuations.

Takeaways

• 📈 The S&P 500 is trading near all-time highs, with investors showing increased optimism in the stock market despite higher interest rates compared to the past peak in 2022.
• 📊 JP Morgan's market reports provide a fundamental overview and pricing insights, helping to set expectations and identify potential value areas in the market.
• 💼 Wiky Stock offers a multi-dimensional scoring system for brokerages, focusing on regulatory aspects, business licenses, and risks, aiding investors in identifying reliable firms and reducing decision-making costs.
• 📉 The forward price-to-earnings (P/E) ratio of the S&P 500 indicates the market may be more expensive today than during the tech bubble, considering the higher interest rates.
• 📚 Historical data shows that the S&P 500's P/E ratio is currently above its 30-year average, suggesting that the market appears expensive relative to historical norms.
• 📈 Analysts expect significant earnings per share (EPS) growth for the S&P 500 over the next three years, pricing in substantial market growth which may or may not be realized.
• 💡 Value stocks, though cheaper than growth stocks, are still trading above their historical average P/E ratios, indicating that even value stocks may be considered expensive today.
• 🔝 The top 10 stocks in the S&P 500 are trading significantly above their historical average P/E ratios, contributing to the overall market's high valuation.
• 🌐 The S&P 500 is becoming increasingly concentrated in the top 10 stocks, reducing diversification and setting a record high concentration over the past 30 years.
• 💰 A small group of stocks, referred to as the 'Magnificent 7', have contributed disproportionately to the S&P 500's total returns, making it challenging for stock pickers to outperform the index without owning these stocks.
• 🏠 Shelter inflation remains the primary driver of headline CPI inflation, but it has been trending downward, suggesting a potential easing of overall inflation pressures.

Q & A

What is the current forward price-to-earnings ratio of the S&P 500?

As of July 31st, the forward price-to-earnings ratio of the S&P 500 was sitting at 20.7.

How does the current S&P 500 valuation compare to its historical average?

The current S&P 500 forward price-to-earnings ratio of 20.7 is above its 30-year average of 16.73, indicating that the market is currently trading at a premium relative to its historical average.

What was the forward price-to-earnings ratio during the tech bubble?

During the tech bubble, the S&P 500's forward price-to-earnings ratio reached 25.2, which was significantly higher than the current ratio and the historical average.

What is the projected earnings per share (EPS) growth for the S&P 500 over the next few years?

Analysts are expecting the EPS of the S&P 500 to grow by about 11% in 2024, and by 15% in both 2025 and 2026.

How does the current valuation of value stocks compare to their historical average?

Although value stocks are cheaper than growth stocks, they are still trading at a forward price-to-earnings ratio of 16.2, which is about 10% above their historical average of 14.1.

What is the significance of the 'Magnificent 7' stocks in the S&P 500?

The 'Magnificent 7' stocks have contributed to 51% of the S&P 500's total returns year-to-date, indicating that a significant portion of the market's performance is concentrated in just seven stocks.

How is the concentration of the S&P 500 changing over time?

The S&P 500 has become increasingly concentrated in the top 10 stocks, which now make up 35.7% of the index, a record high over the past 30 years.

What is the current household Debt Service ratio in the United States?

The household Debt Service ratio is currently at 10%, which is below the long-term average and significantly lower than its peak of 13.3% in the fourth quarter of 2007.

What is the projected growth in global electricity demand from data centers and crypto between 2022 and 2026?

The global electricity demand from data centers and crypto is projected to grow by 80% from 2022 to 2026.

How does the current valuation of Chinese stocks compare to other global markets?

Chinese stocks are currently trading at a price-to-earnings ratio of 9.3, which offers an earnings yield of around 11% and is significantly lower than the US markets, suggesting that Chinese stocks may be undervalued.

What does the data suggest about the potential for future returns in the stock market given current valuations?

The data suggests that investors should lower their expectations for future returns due to the current high valuations in the stock market, with the S&P 500's forward price-to-earnings ratio historically correlating with lower annual returns as it increases.

Outlines

00:00

📈 Stock Market Optimism and JP Morgan's Market Update

The video discusses the current optimism in the stock market, particularly around the S&P 500, which is near its all-time highs. It highlights the importance of JP Morgan's market reports for understanding market fundamentals and pricing. The speaker intends to share key insights from the latest report and their implications for investors. The video is sponsored by Wiky Stock, a platform offering comprehensive information on brokerage firms, including a unique scoring system and details on licenses, features, and potential risks. Wiky Stock aims to help investors make informed decisions and avoid risks, with a mention of an upcoming event in Bangkok.

05:01

💹 S&P 500 Valuation and Historical Comparisons

This section delves into the valuation of the S&P 500, comparing current forward price-to-earnings ratios with historical data. As of July 31st, the ratio stands at 20.7, slightly lower than its peak in early 2022 but higher considering the current interest rates. The presenter argues that despite the S&P 500 not being at tech bubble levels, it appears expensive today. The 30-year average forward price-to-earnings ratio is also discussed, showing that the current market is trading at a premium. Forward earnings per share estimates for 2024 to 2026 are presented, indicating expected growth and questioning if such market growth is realistic.

10:02

🏆 Dominance of Top Stocks and Market Concentration

The video script examines the influence of the top 10 stocks in the S&P 500, which are trading at a significant premium compared to their historical averages. It points out that these stocks contribute to a large portion of the index's total returns, with the 'Magnificent 7' alone accounting for over half of the S&P 500's gains year-to-date. The concentration of the S&P 500 in these top stocks is at a record high, suggesting reduced diversification. The presenter also discusses the potential implications of this concentration for investors and the market.

15:03

💳 Consumer Health and Inflation Trends

This part of the script addresses consumer health indicators such as the household Debt Service ratio, which remains below historical averages despite early delinquencies on auto and credit card loans showing an upward trend. The personal savings rate is also discussed, noting a significant decrease from historical norms, attributed to inflationary pressures. The script further explores the impact of diminishing excess savings on future consumer spending and economic implications. Inflation contributors are analyzed, with shelter inflation identified as the primary driver, although it has been on a downward trend since early 2023.

🌐 Global Market Valuations and Investment Opportunities

The final paragraph explores global market valuations, highlighting the potential for value investment in international markets relative to the US. It discusses the significant discounts in international price-to-earnings ratios and higher dividend yields compared to the US. The presenter notes the undervaluation of Chinese stocks, despite concerns in some investor circles, and the interest of prominent investors in the Chinese market. The script also touches on the projected growth in semiconductor production and its potential impact on industry margins, as well as the opportunities in small and mid-cap stocks which appear to be trading below their long-term averages.

Keywords

💡S&P 500

The S&P 500, or Standard & Poor's 500, is a stock market index that measures the stock performance of 500 large companies listed on stock exchanges in the United States. It is often used as a benchmark to gauge the overall performance of the U.S. stock market. In the video, the S&P 500's forward price-to-earnings ratio is discussed to analyze its current valuation and historical performance, indicating its importance in the theme of market analysis.

💡Price-to-Earnings Ratio (P/E Ratio)

The price-to-earnings ratio is a valuation ratio calculated by dividing the market value per share of a stock by its earnings per share. It is used to determine if a stock is overvalued or undervalued. The video script discusses the forward P/E ratio of the S&P 500, comparing it to historical data to assess the current market valuation and potential for investment.

💡Interest Rates

Interest rates are the cost of borrowing money and are set by central banks. They have a significant impact on the economy and financial markets, affecting everything from mortgage rates to the valuation of stocks. The script mentions the current interest rates being higher than during the peak in 2022, suggesting that the cost of borrowing is a factor in the current stock market valuation.

💡Tech Bubble

The tech bubble refers to a period in the late 1990s and early 2000s when the stock prices of many technology companies rose to unsustainable levels, followed by a sharp decline. The video script uses the tech bubble as a historical reference point to compare the current market conditions and valuations, indicating the potential risks of an overheated market.

💡Value Stocks

Value stocks are stocks that are considered undervalued by the market, trading for less than their intrinsic value. The script discusses the relative valuation of value stocks compared to growth stocks, indicating that even though value stocks may appear cheaper, they are still trading above their historical averages, which is relevant to investors looking for undervalued opportunities.

💡Growth Stocks

Growth stocks are stocks of companies that are expected to grow at an above-average rate compared to the market. The video script contrasts growth stocks with value stocks, noting that while value stocks may be cheaper, growth stocks are trading at a higher P/E ratio, reflecting market expectations of their future earnings potential.

💡Wiky Stock

Wiky Stock is mentioned in the script as a sponsor of the video. It is described as a platform that provides investors with information to assess the reliability of brokerage firms, reduce decision-making costs, and avoid risks. The mention of Wiky Stock in the context of the video serves to highlight the importance of due diligence in choosing brokerage services for investing.

💡Dividend Yield

Dividend yield is the ratio of the annual dividend payment to the market value of the stock. It is used by investors to measure the return on investment from dividends. The script compares dividend yields between international and U.S. markets, suggesting that international markets may offer higher yields and potentially greater value.

💡Inflation

Inflation is the rate at which the general level of prices for goods and services is rising, and subsequently, purchasing power is falling. The script discusses the components of headline CPI inflation, with shelter inflation being a significant contributor. It also notes the trend of inflation coming down, which is relevant to the overall economic context affecting the stock market.

💡Capital Expenditures

Capital expenditures refer to the funds a company spends to acquire, maintain, or improve its assets. The script highlights the increasing capital expenditures of major AI hyperscalers, indicating significant investment in infrastructure, which could have implications for the growth and valuation of these companies.

💡International Markets

International markets refer to the stock exchanges and financial markets outside of the United States. The script suggests that international markets may be undervalued compared to the U.S. markets, based on P/E ratio comparisons and dividend yields, which could indicate potential investment opportunities for investors looking beyond domestic markets.

Highlights

S&P 500 is near all-time highs with investors showing increased optimism.

JP Morgan's report provides key fundamental market data and insights.

Wiky Stock's multi-dimensional scoring system for brokerages helps investors reduce decision-making costs.

The S&P 500's forward price-to-earnings ratio is at 20.7, indicating a potentially expensive market.

High interest rates make the current market more expensive compared to the peak in 2022.

Analysts expect significant EPS growth for the S&P 500 over the next three years.

Value stocks are cheaper than growth stocks but still above their historical average price-to-earnings ratios.

Top 10 stocks in the S&P 500 are trading significantly above their historical average price ratios.

Concentration of the S&P 500 in top 10 stocks is at a record high, reducing diversification.

The 'Magnificent 7' stocks have contributed to over half of the S&P 500's total returns this year.

Household Debt Service ratio is below the long-term average, but early delinquencies are trending up.

US personal savings rate is significantly lower than the long-term average due to inflation.

Inflation contributors show shelter inflation as the primary source, but it's trending down.

Capital expenditures by major AI hyperscalers are projected to increase significantly.

International markets appear cheaper than the US market, offering potential value.

Chinese stocks are extremely undervalued, contrary to common investor perceptions.

China is projected to lead in semiconductor production by 2030, impacting industry margins.

Small and mid-cap stocks may offer value as they trade below their historical averages.

Higher market valuations historically correlate with lower future returns.

Transcripts

the S&P 500 is selling right near

all-time highs and it seems like

investors are becoming more optimistic

about the stock market in general every

few months JP Morgan puts out a great

report that covers the key fundamental

data of the market and how things are

looking and I love to dive into this

data and share it here on my channel it

gives us a good overview of the market

and how things are currently being

priced which helps us properly set our

expectations and find potential areas of

value so in today's video I want to

share the key highlights from JP

Morgan's most recent market update and

what my takeaways for investors are

however before we get into the video I

want to let you all know that this video

is sponsored by wik stock wiky stock

provides investors with accurate

comprehensive and diversified

information to help them identify the

reliability of brokerage firms reduce

decision-making costs and effectively

avoid risks one of wiky Stock's core

functions and value ads is that they

have a weaky score system which is a

multi-dimensional scoring system for

each brokerage this score Focus focuses

on the regulatory aspects business

licenses features and risks of over

11,000 brokerages around the world they

also show you all of the different

Securities licenses each brokerage has

for example we can see that interactive

brokers has seven licenses in the US

Australia the UK Japan China Singapore

and Canada you can also view the pros

and cons of every brokerage to see what

their strengths and weaknesses are for

example we can see that interactive

brokers has low trading fees a high

interest rate on cash a wide range of

products and many great research tools

however it also has a complicated

account opening process a complex

desktop platform and understaffed

customer service so interactive brokers

sounds like a great brokerage for people

who can leverage analytical tools but it

also is challenging to set up so if

you're interested in checking out Wiki

stock and finding the best and most

trustworthy brokerages then make sure to

download their free app via the link in

my descript description wiy stock also

has an expo going on in Thailand that

will take place in Bangkok on September

7th the details of that event are also

in my description and with that being

said let's now hop into the video all

right so this first chart that we are

taking a look at shows us the forward

price to earnings ratio of the S&P 500

today and historically so as of July

31st we can see that the forward price

earnings ratio was sitting at 20.7 and

the previous top was on January 3rd of

2022 when the priced earnings ratio got

to 21.4

however at that time interest rates were

only sitting at 1.6% versus 4.1% today

so basically today the market is selling

for a slightly lower price to earnings

ratio but the interest rate on bonds is

significantly higher and therefore you

could make the argument that the stock

market is actually more expensive today

versus the peak in 2022 now we can also

see that the forward priced earnings

ratio of the S&P 500 during the tech

bubble was 25.2 and at this time the

10-year bond yield was 6.2% so this

combination of a very high price

earnings ratio and a high yield on bonds

does show us that the stock market was

incredibly expensive during the tech

bubble and I personally do not think

that the market is near Tech bubble

levels quite yet and really not even

close but in general I do think that the

S&P 500 is looking expensive today now

moving on to the next screenshot this

one shows us the 30-year average forward

pric earnings ratio of the S&P 500 which

is

16.73% standard deviation and minus one

standard deviation and a plus one

standard deviation is a forward priced

earnings ratio of 20 and once again we

can set the market is trading for 20.7

today which is actually quite expensive

we can also see that there was only two

times in the past 30 years where the

market was trading for this high of a

price the previous time was in the 2020

2021 era and also during the tech bubble

of 2000 and to me this does suggest that

the S&P 500 is looking expensive to

today all right now this next screenshot

shows us the forward earnings per share

estimates for the S&P 500 and for 2024

analysts are expecting earnings per

share across the S&P to grow by about

11% now in 2025 and in 2026 analysts are

expecting the EPS of the S&P to grow by

15% so this is what the market I think

is currently pricing in is quite a bit

of growth over the next 3 years and this

is what analysts are expecting and as I

just said I personally think that this

is a lot of growth that the market

Market is pricing in and you can ask

yourself if you think that the market is

actually going to see 15% annual growth

over the next 3 years or not this next

chart shows us the value versus growth

relative valuations and we can see that

right now value stocks are looking

cheaper than growth stocks however if we

take a look at this bottom table right

here we can see that the current forward

priced earnings ratio of value stocks is

sitting at 16.2 and their long-term

average is 14.1 so even though value

stocks are looking quite a bit cheaper

than growth stocks it is worth pointing

out that value stocks are still selling

about 10% above their historical average

priced earnings ratios and therefore

even value stocks could be argued to be

looking expensive today this next chart

is an interesting one because it shows

us the price to earnings ratio of the

top 10 stocks in the S&P 500 the

remaining stocks and the total priced

earnings ratio of the S&P 500 on a

forward basis so the top 10 stocks are

currently trading for a forward priced

earnings ratio of 31.3 and their

long-term average is 20.5 which means

that the top 10 stocks are trading about

53% above their historical average price

ratios and again are looking quite

expensive the remaining stocks in the

S&P 500 are trading about 11% above

their historical average price ratios

and in general the entire S&P 500 is

trading about 25% above its long-term

historical averages so in general it

looks like stocks in the S&P are quite

expensive today the weight of the top 10

stocks in the S&P 500 is also sitting at

35.7% now or basically 36% and really

since about 2016 the S&P 500 has

becoming more and more concentrated in

these top 10 stocks and this

concentration is sitting at a record

high over the past 30 years with the

previous High being during the tech

bubble where the top 10 stocks made up

about 27% of the S&P 500 so basically

the S&P is becoming more concentrated in

a handful of stocks and the

diversification in the S&P is becoming

less and less all right this next table

right here shows us where the returns of

the S&P 500 have been coming from so the

Magnificent 7 so far year to date are up

29% and they have produced 51% of the

snp's total returns so the majority of

the snp's returns so far this year have

come from just seven stocks okay now the

remaining stocks within the S&P have

generated returns of about 7% and in

general have contributed about 49% of

the index's total returns so if you are

a stock picker and you did not own the

Magnificent 7 then it has been extremely

challenging to outperform the S&P so far

this year now it's also worth noting

that the Magnificent 7 have been seeing

significantly more earnings per share

growth than the remainder of the S&P and

they are projected to see more earnings

growth over the next two quarters so

these seven businesses are growing

significantly faster than the remaining

493 stocks in the S&P which does kind of

make sense as to why their stocks are

performing better as well because stocks

do follow the underlying businesses all

right moving on now this next chart gets

us into the consumer health and this is

the household Debt Service ratio which

are the debt payments as a percentage of

people's disposable personal income and

we can see that the household Debt

Service ratio is currently sitting at

10% which is actually still below the

long-term average over the past about 45

years now the highest it got was in the

fourth quarter of 2007 at 13.3% and we

aren't quite back to those levels right

now and we are actually a pretty far

ways away from those levels still and

again we are actually below the

long-term historical average household

Debt Service ratio however if we take a

look at flows into early delinquencies

we can see that auto loans and credit

card loans are ticking up quite a bit

and they are actually continuing to go

up it also looks like the early

delinquencies of these loans are

actually getting above their historical

averages however we can see that back

here in the Great Recession these

numbers got up to roughly 14% so they do

still have quite a long ways to go but

it is worth noting that the early

delinquencies in these loans are

trending up in a pretty big way this

next chart shows us the personal savings

rate of people in the United States and

we can see that so far year-to date in

2024 it's only

3.6% which is well below the long-term

average of

8.5% so people are not really saving

that much money right now and this is

probably due to all of the inflation

that we have seen over the past four

years now we can also see the household

excess Savings in terms of trillions of

US dollar and we can see that it peaked

here at 2.3 trillion during covid in

2021 and in 2022 when there was a lot of

stimulus going on within the economy

since then people have been spending

their excess savings and now excess

savings is sitting at $500 billion which

means that it is down about 1.8 trillion

from the peak only 2 years ago and it is

going to be interesting to see what

happens when people's excess savings do

run out because this trend is clearly

going down so when it hits zero are

people going to be spending less money

or what is going to happen to the

economy that is something that I am

interested to see and something that I

am kind of anticipating will happen

sometime soon this next chart shows us

the contributors to headline CPI

inflation and we can actually see that

shelter inflation is still the number

one source of inflation however it has

been trending down since about February

of 2023 so over the past 18 months

shelter inflation has been trending down

and it's still is today overall headline

inflation is also sitting at 3% which is

the lowest it has been since June of

2023 and overall the trend of inflation

is coming down and a lot of people are

speculating that this means that the FED

will lower interest rates sometime quite

soon in fact by the end of the year the

fomc is estimating that interest rates

will drop to 5.1% versus the 5.38% that

they are currently at today the FED is

then expecting interest rates to drop to

4.1% by the end of 2025 and then at 3.1%

by the end of 2026 so basically interest

rates are projected to drop by roughly

2% over the next 2 years and I do think

that the market is currently pricing

this in all right now this next slide

shows us the capital expenditures from

the major Ai hyperscalers and we can see

that these companies have continued to

spend more and more money on Capital

expenditures and in the year of 2024

they are now projected to spend

88 billion which is roughly 50% more

than they spent in 20 23 so the capital

expenditures of these businesses are

continuing to explode and Skyrocket now

what's also interesting is the global

electricity demand from data centers and

crypto is projected to grow by 80% from

2022 to 2026 this means that the world

is projected to continue consuming a lot

more electricity and we are going to

need a lot more electricity Supply to

actually power and meet the demand of

all of these data centers that are being

built around the world and these data

centers that are actually powering the

AI Revolution this is something that

Bruce Flatt and Mark Zuckerberg have

both talked about as well and this is

something that I have covered on my

channel before and it is interesting for

me to see that there is so much

projected electricity demand because

it's not really something that is talked

about in the stock market a lot today is

how these electricity providers could

see massive Tailwinds over the coming

decades and this is one of the reasons

why Brookfield is the largest position

in my portfolio all right moving on to

the international charts now here we can

see the inter International price to

earnings ratio discount versus the US

price to earnings ratio and we can see

that relative to the US markets the

international markets are actually

looking quite cheap with our largest

discount in 20 years now by far so it

does look like there could be value

found in the international markets

versus the US markets right now we can

also see the difference in dividend

yields versus the international markets

and the US markets and right now the

international markets are offering a

pretty high dividend yield versus the US

markets which could also suggest once

again that the international markets are

looking cheap relative to US stocks

today moving on this next chart shows us

the global valuations of different

markets and here we can see that the US

is trading for that 20.7 forward priced

earnings ratio and its 25-year average

was that 16.7 so the US markets are

selling well above their long-term

historical average pric earnings ratios

Japan is currently selling below its

long-term average priced earnings ratios

so is Europe and so is China the

Emerging Markets are trading slightly

above their price to earnings ratios and

overall it does look like China is

offering the largest discount right now

by far the Chinese markets are trading

for a price to earnings ratio of only

9.3 which is an earnings yield of around

11% and overall it does look like

Chinese stocks are extremely undervalued

right now assuming that nothing major

happens to the Chinese economy going

forward this is also interesting because

a lot of super investors have been

buying Chinese stocks and even Howard

Marx has said he is happy invested in

China right now so while a lot of

investors are scared of the Chinese

markets or saying that the Chinese

markets are uninvestable a lot of super

investors have actually been putting

more money and allocating more of their

portfolios into Chinese stocks so we're

going to have to see how this plays out

over the long term this next chart also

shows us that China is projected to

become the leader in semiconductor

production by 2030 it also seems like

countries are racing to produce more

semiconductors on their own and you have

to wonder what this increase in Supply

semiconductors will due to the margins

within this industry over the coming

years this next screenshot comes from

yini research so we're actually moving

away from the JP Morgan Guide to the

markets now but I do think that this

chart and the following information is

very useful for investors to know so

this chart shows us the S&P 500 large

cap forward priced earnings ratio versus

the S&P 400 midcap index and the S&P 600

small cap index and right here we can

see that the mid and small cap indexes

are trading for forward priced earnings

ratio

well below the S&P 500 overall if we

also take a look at these two indexes

versus their long-term historical

averages we can see that they're

actually selling around their long-term

historical averages if not below their

historical averages therefore in my

opinion this data does suggest that

there could be value found in small and

midcap stocks in the market right now

this screenshot was also shared in my

patreon community which shows the

valuations of small cap stocks versus

large cap stocks and we can see that the

relative valuation between the S&P 600

small cap index versus the S&P 100 large

cap index is at about a 60e low right

now and the last time that small cap

stocks were looking this cheap was

during the tech bubble so all of this

data is suggesting that small cap stocks

are actually looking quite undervalued

right now and this could be an area of

value for investors to seek out now the

last chart that I want to show you all

was also shared in my patreon community

and this chart right here shows us that

higher valuations equal lower returns

and what this chart is specifically

showing us is the S&P 500 forward price

to earnings ratio versus its annualized

total return over the following 10 years

and you can clearly see that

historically the annual returns lower as

the price to earnings ratio of the S&P

500 increases we can also see that

around a 23 forward priced earnings

ratio the 10-year future returns go

negative and as we saw we are currently

at a 21 forward priced earnings ratio in

the S&P 500 and historically when the P

has traded for this price the 10-year

returns have been around 3% this

suggests that investors should lower

their expectations for future returns

due to the market currently being quite

expensive before he died Charlie Monker

was also saying that there could be a

lost decade which is where the index

doesn't produce returns for a decade due

to the high prices in the stock market

today it's also worth noting that there

has been many times throughout history

where the S&P has not produced returns

for a decade if if not longer and I do

believe that this could happen again so

what my main takeaways from all of these

charts are is that index investors do

need to lower their expectations for

future returns there also is a lot of

value outside of the US markets and in

small and midcap stocks so these could

be areas where investors could find

undervalued stocks I also personally

think that we are in a stock Pickers

Market because personally I do not think

that the S&P 500 and the indexes are

going to produce strong returns over the

next 5 to 10 10 years and I do think

that the large returns will come to

stock Pickers who can find individual

stocks that are currently undervalued

and offering significant future growth

but with all that being said that is

going to wrap up the video for today

everyone and if you did enjoy this video

then please remember to leave a like on

it and if you want to stick around and

see more stock market related content

like this then please consider

subscribing to my channel as well as I

said I like to go through all of these

charts on a quarterly basis whenever JP

Morgan updates their Guide to the

markets but that is going to be all for

me today every one and thank you all so

much for tuning in as always I truly do

appreciate it and I really hope to see

you all again in my next video