We got your profit margins right here:
Profit margins for companies in the S&P 500 Index rose to 11.7% in the 2nd quarter, their highest level in history.
Very bullish, but, there’s this from legendary investor Jeremy Grantham: “Profit margins are probably the most mean-reverting series in finance, and if profit margins do not mean-revert, then something has gone badly wrong with capitalism.”
Invest wisely my friends.
More on Jeremy Grantham: www.wikipedia.com
Hat tip Charlie Bilello