If a Stock Market Crash Is Coming, These 2 Growth Stocks Might Be Worth Selling
Stocks with high valuations, like SpaceX and Datadog, can be especially vulnerable when the broader market heads lower.
The S&P 500 is currently near a record high, raising concerns about its lofty valuation. With a Shiller Cyclically Adjusted Price-to-Earnings ratio of 41.8, the market is second only to the dot-com bubble peak in 1999-2000 in terms of expense. Various factors, such as Middle East conflicts, high inflation, Federal Reserve rate hikes, and November's Congressional elections, could disrupt this bull market.
As such, investors might consider taking profits from high-valued stocks, which tend to be the most susceptible to corrections during market turmoil. Two specific growth stocks with sky-high valuations are identified as potential candidates for selling if the S&P 500 begins to decline.
Written by urgent.news from Motley Fool's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
