Homrich & Berg says Shiller CAPE nears dot-com highs as stocks lag earnings

Homrich & Berg flagged signs Robert Shiller’s CAPE ratio may be peaking as stock prices rise more slowly than earnings.

• The valuation gauge sits near dot-com highs, indicating elevated equity pricing.
• Further CAPE gains may be difficult if the price-to-earnings gap continues to narrow, raising downside risk for richly valued stocks.