Monday, December 9, 2013

Where Are Europe's Most Expensive Stocks?

As we pointed out a short while ago (here), most stocks are valued at quite a premium today.  Taking a deeper look into the MSCI Europe constituents, we find that a significant number of stocks in nearly every sector are trading at or above 25x P/E:

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For the Health Care sector, with 50% of its members trading at such a high valuation, we find that nearly all of the sub-industries are participating:

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In addition, the vast majority of Information Technology stocks in the MSCI Europe index are now trading over 20x P/E:

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And a few companies in the Consumer Staples sector are at much higher valuations than even the sector averages initially suggest:

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