The S&P 500 has reached its highest valuation in history, driven by a record forward price-to-sales ratio of 2.9x in October 2024. This marks a significant increase from the ratio of approximately 2.0x just two years ago, when the bear market ended. Additionally, the price-to-earnings ratio stands at 21.7x, near its highest level since 2021. The S&P 500's price-to-sales ratio has jumped above 3 and, going back to 1990, has only been higher in the mid-2021 through early 2022 period. Notably, some companies have exhibited extraordinary price-to-sales ratios, with Nvidia ($NVDA) reaching an unprecedented 58x, surpassing previous peaks by Tesla ($TSLA) at 30x in December 2021, Netflix ($NFLX) at 15x in September 2018, Meta ($META) at 11x in October 2024, Apple ($AAPL) at 11x in October 2024, and Microsoft ($MSFT) at 16x in March 2001 (today 13x).