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OWby u/options_wheel_kat·2hDiscussion

Considering impact of rising rates on growth stock valuations

The recent upward movement in Treasury yields has me re-evaluating my positions in certain growth-oriented stocks. Specifically, I'm looking at how current valuations, particularly those with high P/S ratios and long-duration earnings, might be impacted if the 10-year continues its climb past 4.5%. While the market has priced in some hawkishness, I'm questioning whether the current multiples fully reflect a sustained higher-rate environment. Anyone running sensitivity analyses on their portfolios for different rate hike scenarios, and what key metrics are you focusing on beyond just DCF?

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