Monday, February 16, 2009

Yikes

On Friday, Merrill Lynch strategist David Rosenberg took his 2009 operating earnings number for the S&P 500 to $46. Consensus currently sits at around $64, putting Rosenberg more than a quarter below the street.

If he's right, the market is not as cheap as I thought it was based on current earnings. It may still be very cheap relative to normal earnings.

Happy President's Day.

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1 comment:

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