The CAPE ratio today
How much investors pay for 10 years of profits, against history.
Close of Friday 6 November 2026 · updated every trading day
Where is it now?
How high are stock prices against profits?
Higher than usual
High · higher than in 8 of 10 months since 2006
What is it?
The CAPE ratio compares share prices with profits. It uses the average profit of the last 10 years, after inflation. A high CAPE means that investors pay much for each dollar of long-run profit. Robert Shiller made the measure known, so people also call it the Shiller P/E.
How we measure it
We divide the market value of the 500 largest US companies by their average yearly profit of the last 10 years, after inflation. A company needs at least 5 years of profit to count. Before 2006 the line is Robert Shiller's series, which uses a different list of companies.
Share of the value of the 500 that counts: 96.2%
Why it is high now
AI-writtenWritten for the close of Wednesday 4 November 2026AI writes this text each trading day from our own figures for this page. We check every number against those figures before we show the text. It gives facts only. It is not advice.
CAPE is 37.8 times, a High level. CAPE compares price with average earnings over 10 years. Over 1 year, earnings rose 17.7% while value rose 11.5%, which pulled the ratio down.
What changed?
AI-writtenWritten for the close of Wednesday 4 November 2026AI writes this text each trading day from our own figures for this page. We check every number against those figures before we show the text. It gives facts only. It is not advice.
CAPE fell from 38.6 a month ago and from 39.8 a year ago.
HistoryEach point is one month. The dot is today. Labels mark well-known moments in the market.
The CAPE ratio since 1881
What does it mean for a long-term investor?
AI-writtenWritten for the close of Wednesday 4 November 2026AI writes this text each trading day from our own figures for this page. We check every number against those figures before we show the text. It gives facts only. It is not advice.
Smoothing earnings over 10 years reduces the effect of one good or bad year. CAPE says little about short-term moves. Its median since 2006 is 26. One indicator alone does not time the market.
What does it not tell you?
The CAPE does not tell you when prices rise or fall. It stayed above its long-run average for most of the years since 1990. It also does not show profits to come, new kinds of companies or the level of interest rates.