Technology, this year’s best-performing sector, hasn’t been this big in more than 17 years.<\/p>\n
The sector makes up 25.1 percent of the S&P 500 as of Tuesday’s close, its highest weighting since November 2000 \u2014 a few months before the dotcom bubble burst \u2014 according to data from Bespoke Investment Group.<\/p>\n
“It bears watching for sure,” Bespoke said in a note Wednesday. “A weighting of 25%+ is … nothing to sneeze at.”<\/p>\n
Source: Bespoke Investment Group<\/em><\/p>\n Tech is up 8.4 percent in 2018 and has skyrocketed 35.7 percent over the past year, leaving all other sectors in the dust. Some of the best-performing stocks in the sector over the past year include Nvidia and Micron , both of which are up more than 100 percent in that period.<\/p>\n The sector’s high weighting may bring up unpleasant memories from when the dot-com bubble burst in the early 2000s, but Bespoke noted valuations for the sector are much lower now than they were back then.<\/p>\n “At current prices, the Tech sector’s forward [price to earnings ratio] stands at just 19.16,” Bespoke said. “At its peak in March 2000, the P\/E ratio was 60.”<\/p>\n Bespoke also noted that tech’s latest move higher in weighting “has been much more slow and steady” than in the early 2000s.<\/p>\n Source: Fred Imbert CNBC<\/p>\n","protected":false},"excerpt":{"rendered":" Technology, this year’s best-performing sector, hasn’t been this big in more than 17 years. The sector makes up 25.1 percent of the S&P 500 as of Tuesday’s close, its highest weighting since November 2000 \u2014 a few months before the dotcom bubble burst \u2014 according to data from Bespoke Investment Group. “It bears watching for […]<\/p>\n","protected":false},"author":1,"featured_media":8110,"comment_status":"open","ping_status":"closed","template":"","tags":[],"news-category":[320,322],"yoast_head":"\n