Published September 5, 2025
Not a day goes by that we don’t read some market observer commenting about how expensive the stock market is. Yet stocks have kept pushing higher. Why? The note below from Blackrock shows that the rise in U.S. growth stocks this year has been substantially the result of rising earnings. The increase in valuation (e.g. making stocks more expensive relative to their earnings) has been modest. Also of note, small cap stock valuations have not increased at all. (more…)