Stocks are cheaper, if not cheap, coming off bubble warnings

By STAN CHOE
AP Business Writer

NEW YORK (AP) — Stock prices have tumbled 10% since the S&P 500 set its record high early this year, hurt by worries about interest rates, inflation and conflict in Ukraine. But based on measures that Wall Street uses to gauge stocks, they look perhaps 15% cheaper. That’s shaving off some of the concerns about an overly hot market. With profits continuing to grow for companies, one measure of the S&P 500’s value is back to where it was in the summer of 2020, shortly after the collapse caused by the pandemic. Stocks are still more expensive than they’ve been historically, but not by as much.