Warren Buffett Thinks Investors Are "Playing With Fire" With a Sky-High Market Valuation. But He Can't Stop Buying These 3 Stocks.

If you're buying stocks hand over fist right now, you're living dangerously. At least, that's what Warren Buffett would probably tell you.The legendary investor stated in a Fortune article published in 2001 that if the ratio of total stock market capitalization to gross national product (GNP) approaches 200%, investors are "playing with fire." This ratio is now known as the Buffett indicator, with gross domestic product (GDP) replacing GNP. Guess what the level of the Buffett indicator is right now? An all-time high of 219%. But Buffett himself isn't completely throwing in the towel on the stock market despite its sky-high valuation. The "Oracle of Omaha" and his team at Berkshire Hathaway can't stop buying these three stocks, in particular.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool