What Warren Buffett said about the so-called 'Buffett Indicator' 🧐

"It’s just not quite as simple as having one or two formulas and then saying the market is undervalued or overvalued." 🤦🏻‍♂️

Warren Buffett is probably the most well-respected and well-recognized name in investing.

So you’ll probably take notice when you read headlines like “Warren Buffett’s favorite market indicator is flashing red” from CNN and “Warren Buffett's favorite market gauge hit a 2-year high, signaling stocks are heavily overvalued and could crash“ from Business Insider.

But don’t confuse these headlines with Buffett saying it’s time to run from stocks. In fact, he might actually caution against reading too much into this namesake metric.