Goldman Sachs data shows 40% of US market cap now trades at EV/sales above 10x, surpassing dot-com bubble peaks.
US equities are trading at their most expensive levels in history based on enterprise value-to-sales ratios. Nearly 40% of total US market capitalization now sits at EV/sales multiples above 10x, exceeding the 35% peak seen during the 2000 dot-com bubble, according to Goldman Sachs analysis.
The surge is driven by elevated valuations across sectors, with 13% of market cap now trading at EV/sales above 20x. This surpasses even the brief 15% peak observed during the dot-com era, signaling unprecedented concentration in high-multiple stocks.
Investors appear willing to pay premiums amid enthusiasm for AI-driven growth, though historical comparisons raise concerns about potential overvaluation.