Motley Fool Picks 3 Financial Stocks for a Market Correction as CAPE Ratio Stays Elevated
Updated
Updated · The Motley Fool · May 16
Motley Fool Picks 3 Financial Stocks for a Market Correction as CAPE Ratio Stays Elevated
2 articles · Updated · The Motley Fool · May 16
Three financial names—Berkshire Hathaway, JPMorgan Chase and BlackRock—were highlighted as buy-on-dip candidates if another 10% market correction hits.
The call rests on persistent volatility, rising geopolitical tensions, swelling government deficits, higher consumer prices and an elevated CAPE ratio that could leave equities vulnerable.
Berkshire brings a $397 billion cash pile and nearly $24 billion in free cash flow, positioning it to deploy capital if valuations reset.
JPMorgan adds scale with more than $3.7 trillion in assets, $16.5 billion in quarterly net income and a $1.5 trillion liquidity buffer for a downturn.
BlackRock offers fee resilience through its nearly $14 trillion AUM platform after $130 billion of first-quarter inflows and 27% revenue growth to $6.7 billion.
Berkshire sits on a $397B cash hoard. Is this a brilliant move for a crash or a monumental missed opportunity?
Market valuation rivals the 1929 and 2000 peaks. Is this time different, or is a historic crash inevitable?
China's new laws penalize firms for obeying US sanctions. How can global companies escape this geopolitical catch-22?