When looking through the S&P 500’s index members recently, we noticed that 121 stocks in the 500-member index had triple-digit share prices ($100+). We’ll go out on a limb and say that there’s never been more stocks trading above the $100/share mark. While share price really has no bearing on valuation, it’s still a bit eye-popping to see so many $100+ stocks. At the end of the last two bull markets (10/9/07 and 3/24/00), there were just 30 stocks trading above $100/share.
Below is a table comparing the S&P 500’s current make-up to its make-up at the end of the last two bull and bear markets going back to 2000. As mentioned above, there are currently 121 stocks in the index trading above $100/share, and there are just 2 (yes, 2!) trading under $10/share. The average S&P 500 stock trades at $86.58/share, and it has a P/E ratio (trailing 12/month) of 24.30. Just 8 stocks in the S&P 500 have no P/E ratios right now (negative earnings).
For comparison’s sake, at the end of the last bear market (start of the current bull) on 3/9/09, just 5 stocks in the S&P 500 were over $100/share, while 119 were under $10/share. On 3/9/09, the average stock in the index was trading at just $24.31/share and had a P/E ratio of 11.28. Forty stocks in the index had negative EPS at that point.
Below is a list of the 60 stocks in the S&P 500 with the highest share prices. Along with 121 stocks trading above $100/share, there are 24 stocks trading above $200/share.