David Tice: S&P to Hit 400, Earnings Multiple Overpriced (Video)

Uber bear David Tice of Federated investors was on Bloomberg saying the market was dramatically overpriced and fair value on the S&P is $400 in the near future. He is bullish on gold and silver, hedging against Helicopter Ben.

"We think we are going to get to $400... We think the market is dramatically overpriced at 22 times 2010 earnings according to strategist numbers. That's an exceptionally high number for the bottom of a bear market.. We think earnings are still going down and the problem is that expectations that were beat were being done at much lower levels than last year due to cost cutting, revenues were down significantly..."

Anyone know what 2010 EPS number he is looking at to get a P/E of 22? Here is Standard and Poor's 2009 and 2010 reported and operating EPS estimates in a spreadsheet. It looks like 2010 EPS estimates average out to 70.




More projections from strategists:
Marc Faber Sees US Dollar Strength and Market Correction (Aug 15)
Rosenberg Takes Other Side of Abby Joseph Cohen's Call (Aug 7)
Abby Cohen: In a New Bull Market, Sees 1050-1100 Target on S&P (Aug 7)
Pimcos El-Erian: July Stock Rally Sugar High Built On Assumptions (Aug 2)