The S&P 500's CAPE Ratio Just Hit Its Highest Level Since the Dot-Com Bubble. Here's What That's Historically Meant for Dividend Stocks.

Key Points The Shiller CAPE Ratio is at its second-highest point in history. The S&P 500 has historically endured a major correction when this ratio has hit a notable peak. Companies that steadily grow their dividends have historically been much less volatile during major market downturns. 10 stocks we like better than ProShares S&P 500 Dividend Aristocrats ETF › The Shiller CAPE Ratio -- a measure of how expensive stocks are compared to a decade of earnings -- recently hit its highest level since the dot-com era, the only other time it has been this high. The last time this happened, the S&P 500 Index (SNPINDEX:^GSPC) lost about half its value over the next two and a half years.