NEW YORK ( ETF Expert) -- History tends to punish bull markets when speculative frenzies hover around a narrowing list of stand-outs (e.g., Netflix (NFLX), First Solar (FSL), etc.), an increasing number of initial public offerings (e.g., Twitter (TWTR) Twitter, Container Store (TCS) , etc.) and/or a dramatic rise in margin debt. Perhaps ominously, all three circumstances currently exist, with margin debt at an all-time peak and IPOs at their highest level since 2007.Clearly, one could add dozens of reasons why the stock market might burst like an unchecked water heater. An extremely overvalued cyclically adjusted P/E near 25, an unsustainable price-sales ratio of 1.5 and companies like Tesla (TSLA) being valued at roughly 1/2 the price of General Motors (GM) are unsettling. (Does anyone even think about the reality that the revenue at General Motors is 75 times greater than sales at Tesla?)
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