{"id":487533,"date":"2026-01-02T17:14:10","date_gmt":"2026-01-02T17:14:10","guid":{"rendered":"https:\/\/www.europesays.com\/us\/487533\/"},"modified":"2026-01-02T17:14:10","modified_gmt":"2026-01-02T17:14:10","slug":"any-way-you-look-at-it-the-u-s-stock-market-is-expensive-as-the-new-year-begins-bofa-says","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/us\/487533\/","title":{"rendered":"Any way you look at it, the U.S. stock market is expensive as the new year begins, BofA says"},"content":{"rendered":"<p>The vibes are good on Wall Street as 2026 begins. There&#8217;s just one issue: Stocks are really expensive. Bank of America strategist Savita Subramanian noted Wednesday that the S &amp; P 500 is registering a high valuation in 18 of 20 metrics she tracks. These include trailing price-to-earnings ratio, enterprise value to EBITDA and forward consensus PE. The benchmark has &#8220;never been more expensive&#8221; when looking at market cap to GDP, price to book value, price to operating cash flow and enterprise value to sales,&#8221; she added. &#8220;No way to sugar coat it: the S &amp; P 500 is expensive,&#8221; Subramanian wrote, adding that &#8220;risks to the index abound in 2026.&#8221; Subramanian sees the S &amp; P 500 ending the year at 7,100, the lowest among those included in the 2026 CNBC Market Strategist survey . That implies a gain of just 3.8% from Wednesday&#8217;s close (U.S. markets were closed Thursday due to New Year&#8217;s Day). .SPX YTD mountain SPX year to date Among the risks she pointed out was a slowing in the labor market, as the implementation of artificial intelligence leads to job cuts . Still, there are parts of the market worth owning, Subramanian said, especially health care and real estate. &#8220;Health Care and RE are inexpensive relative to historical market multiples. More importantly, the sectors are cheap for good reasons: positive trends in revisions compared to the broader market, plus a three month run of outperformance. These factors in concert indicate good value,&#8221; Subramanian said. Health care and real estate lagged the broader market last year. The former rose around 12% in 2025, while the latter fell marginally.<\/p>\n","protected":false},"excerpt":{"rendered":"The vibes are good on Wall Street as 2026 begins. There&#8217;s just one issue: Stocks are really expensive.&hellip;\n","protected":false},"author":3,"featured_media":487534,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[9],"tags":[81,171,3346,134,67,132,68],"class_list":{"0":"post-487533","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-entertainment","8":"tag-business-news","9":"tag-entertainment","10":"tag-investment-strategy","11":"tag-stock-markets","12":"tag-united-states","13":"tag-unitedstates","14":"tag-us"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@us\/115826633880012317","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts\/487533","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/comments?post=487533"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts\/487533\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/media\/487534"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/media?parent=487533"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/categories?post=487533"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/tags?post=487533"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}