Warren Buffett warns S&P 500 CAPE nears dot-com bubble peak
Warren Buffett is sounding the alarm on the stock market, saying, "It's tough to find values when everybody is preferring gambling."
He pointed out that the S&P 500's CAPE ratio has climbed to about 41, almost matching the dot-com bubble's peak and way above its long-term average.
Basically, he thinks things are looking a bit overheated.
Warren Buffett urges durable brands investment
Buffett's advice? Stick with companies that have real staying power (think strong brands and steady profits), not just hype.
While Berkshire Hathaway was slow to jump into AI, it was about a year ago that it invested in Alphabet, keeping its focus on solid businesses.
Also, as Buffett steps back into a chairman emeritus role, Howard Buffett will take over as chairman, but Warren isn't going anywhere: he'll still be a shareholder and remain a director at Berkshire.