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May 14, 2025

The Extreme Risk Of High Valuation: The Truth About the S&P 500’s Valuation (Part 2)

Risk Of High Valuation

In this video – Part 2 – Extreme Risk of High Valuation – Chuck Carnevale, Co-Founder of FAST Graphs, aka Mr. Valuation discusses the volatility of the stock market, using the S&P 500 (SPY) as a proxy. He emphasizes the importance of viewing the market as a collection of individual stocks rather than a whole, highlighting that stock valuations should be assessed relative to a company’s fundamentals, such as earnings, dividends, and cash flow. Chuck illustrates how the S&P 500 has historically averaged an 8% growth rate, with periods of overvaluation and corrections.

Here is a link to Part 1

In this video Chuck will cover SPDR S&P 500 ETF Trust (SPY), Hubbell Inc (HUBB), Humana Inc (HUM), IDEXX Laboratories (IDXX), IDEX Corp (IEX), International Flavors & Fragrances Inc (IFF), Iqvia Holdings (IQV), Ingersoll Rand Inc (IR), Iron Mountain Inc (IRM), JB Hunt Transport Services (JBHT), Jabil Inc (JBL), Johnson Controls International (JCI), KKR & Co (KKR), KLA Corp (KLAC), Carmax Inc (KMX), Leidos Holdings Inc (LDOS), Lowes Companies (LOW), LAM Research Corp (LRCX), Lululemon Athletica (LULU), Mid America Apartment Communities (MMA), Masco Corp (MAS), Microchip Technology (MCHP), Medtronic Plc (MDT), Marketaxess Holdings (MKTX), Monolithic Power Systems (MPWR), MSCI Inc (MSCI), Match Group (MTCH), Mettler Toledo International (MTD), Nasdaq Inc (NDAQ), Nordson Corp (NDSN), Nextera Energy (NEE), Netflix (NFLX)

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Disclosure: Long IR, JBL, MCHP, MDT

Disclaimer: The opinions in this document are for informational and educational purposes only and should not be construed as a recommendation to buy or sell the stocks mentioned or to solicit transactions or clients. Past performance of the companies discussed may not continue and the companies may not achieve the earnings growth as predicted. The information in this document is believed to be accurate, but under no circumstances should a person act upon the information contained within. We do not recommend that anyone act upon any investment information without first consulting an investment advisor as to the suitability of such investments for his specific situation.

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