The article doesn't mention it, but part of the answer is equity risk premium: https://corporatefinanceinstitute.com/resources/valuation/equity-risk-premium htt

The article doesn't mention it, but part of the answer is equity risk premium: https://corporatefinanceinstitute.com/resources/valuation/equity-risk-premium https://corporatefinanceinstitute.com/resources/valuation/eq... If I can get ~5% risk free return from treasuries, I need to believe I can get MORE than 5% return on equity to pay for the risk. So prices have to fall. I'm surprised prices haven't fallen more given we've gone from 0% risk free return in a short period.