Article at a glance:

Market fundamentals: 2000 versus 2007

• When the S&P 500 peaked above 1,500 in July 2007, it returned to levels not seen since the tech bubble in 2000. While it has since subsided, at this writing it is still quite strong.
• Given some notable similarities between 2007 and 2000—growth during both periods was concentrated largely in a couple of sectors, for example—managers and investors may wonder if the market is again out of line with fundamentals. Our research finds that it isn’t.