The U.S. stock market is showing the biggest divergence between cheap and pricey stocks since the aftermath of the dot-com bubble, as investors chase the performance of companies with rising earnings. Valuations of growth companies—those able to show rising earnings, typically priced at a premium—have soared this year even as price/earnings ratios of cheap, so-called “value” stocks slid, an unusual separation.

Source: Wall Street Journal November 27, 2017 17:42 UTC