Zeev's Turnips Patch-No Politics (ZEEV)

[mjk]

I've seen some of the low earnings estimates for the S&P500 for '05 posted here the past couple days...so while they're complaining about the slowdown in growth for '05, it's understandable given that we've come off of 4 quarters at 20%+, the first time that's happened since the 70's. I view it like this, with the 10 year yield where it is, and even with some of the "lowered" estimates we've seen the past two days, the S&P500 is roughly 30% undervalued...I put the value about 1600.

We'll see where we are this time next year.

edit: I know rates are rising, earnings are slowing...that's what we hear...but still, let's see where we go the next year. I've never seen a market peak with it this far undervalued.