Author and hedge fund guru Joel Greenblatt says he thinks the market is in the range of fair value, and says he’s finding plenty of attractive stocks right now. Greenblatt tells CNBC that after looking at trailing earnings yields for the past 23 years, he’s found that large-cap stocks are in the 80th percentile of “cheap”, and small-cap stocks are in the 64th percentile of cheap. He adds, however, that returns on capital — which he says are mean-reverting for the market — are in the 90+ highest percentile compared to historical norms, a sign that margins may be unusually high. “All in all,” he says, “it’s hard to make a case that stocks are very overvalued. I think that they’re in the range of fair.” Greenblatt adds that he’s less concerned with broader market valuations and more concerned with stock-specific opportunities. “There’s always cheap stocks out there, and we’re finding a lot of value opportunities regardless of where the averages are.”