How Low Can Stocks Go? Updated Risks & Values – June 1st, 2021

Published: June 1, 2021, 10:41 a.m.

The downside risk is 64% based on earnings multiples right now from current levels. That's 32% more risk compared with this time last year. The market remains historically expensive right now. Stocks are priced for earnings to continue to rebound. If the economy does continue to recover as expected, stock prices can be justified. If something were to come out of left field – there’s clearly a lot of room for downside.