Today the CAPE ratio for the overall market stands at about 27, while the long-term historic average is about 15. Over the past 20 years, in fact, the ratio has been above the historic average most of the time. (A major exception was after the market crash in 2009, when it reverted to the average.) The question now is whether the market has been overvalued for most of the last two decades or high valuations are the “new norm.”