Here is the latest update for June from Validea’s market valuation tool. Rather than focusing on market-cap weighted indexes like the S&P 500, our tool focuses on the valuation of the average stock relative to history. We use the median of our investable universe of 2700 stocks to perform the calculation.

While the valuation of the median stock has been rising in recent months, it remains middle of the road relative to history based on the TTM PE Ratio.

Using current year earnings estimates, the valuation looks a little cheaper.

But with margins at historical highs, the valuation using the Price/Sales ratio looks significantly less attractive