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Deep value investor Andrew Wellington on predicting earnings, value multiples and Mag 7 | S07 E08

The Acquirers Podcast

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Evaluating Market Valuations: S&P 500 Perspectives

This chapter contrasts the performance of cap-weighted and equal-weighted S&P 500 indices, questioning the valuation multiples of top-tier stocks relative to their earnings growth. It discusses historical trends and emphasizes the importance of a long-term investment perspective amid potential economic downturns and high valuations in major tech companies. Drawing parallels to past market behaviors, it reflects on the risks associated with overvalued assets and the lessons value investing can teach.

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