Prediction: A Stock Market Crash Is Coming. Here's the 1 Growth Stock I'd Buy Anyway.
Market valuations are unusually high.
Overview
The S&P 500 index currently trades at 26.3 times earnings. That's well above its long-term average of roughly 16 times earnings.
Does that mean a market crash is coming? Not necessarily. Rising corporate profit margins have pushed market price-to-earnings ratios higher over the past two decades. And AI growth could justify the rich valuation.
Details
But above-average valuations tend to revert at some point. Whenever the next downturn happens, I'll likely be buying more of one particular growth stock.
Source
Originally published at www.fool.com.
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Disclaimer: This article is for informational purposes only and does not constitute investment advice. Data may be delayed up to 15 minutes. Past performance is not indicative of future results. Consult a licensed financial advisor before making investment decisions.