If a Bear Market Is Coming, This Growth Stock Might Be a Great Buy on the Dip
Key PointsThe S&P 500 is trading near the highest valuation in its history, but headwinds could derail its momentum.
The S&P 500 currently stands near a record high, yet geopolitical tensions in the Middle East, potential interest rate hikes, and the upcoming midterm elections could disrupt this extended bull market. The index trades at a Shiller Cyclically Adjusted Price-to-Earnings ratio of 41.8, the second-highest valuation on record, surpassed only by the dot-com bubble peak in 2000.
Even if the index were to plummet into a bear market, suffering a 20% decline from its current level, it would still be pricey by historical standards. However, history shows that the broader market typically trends upward over the long term, making market corrections a prime chance for investors to acquire undervalued assets. One such potentially attractive stock is Corning, now a significant participant in the global artificial intelligence data center boom. Here's why it might be an excellent buy at a discount.
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