Key Points The S&P 500 Shiller CAPE ratio is hovering at its second-highest level in history. The CAPE ratio can serve as a useful indicator of which direction stocks are headed. While history is clear about which direction stocks are likely to move in 2026, this time things could end up being different. 10 stocks we like better than S&P 500 Index › Last year, both the S&P 500 (SNPINDEX: ^GSPC) and Nasdaq Composite (NASDAQINDEX: ^IXIC) soared to record highs -- notching double-digit returns for ...