00:00To get rich in investing, you've got to pay attention to P.E. ratios.
00:03Right now, the market's dropping and prices are crazy,
00:06but that means much more favorable P.E. ratios for us investors.
00:09Warren Buffett, the investing legend, and Charlie Munger
00:12both made all their money from when P.E. ratios were low
00:16and when the market had dropped.
00:18I like to see P.E. ratio under 20, but under 15 is best.
00:22Voo is finally under 20.
00:25SCHD is at a very nice 13.5.
00:28Watch out for flashier names like Tesla and NVIDIA
00:31because while they're good companies,
00:33a good return's going to be tough to get at their current P.E.
00:36Tesla is at 50 and NVIDIA is at a crazy 138.
00:42Investing boring and simplified is usually best.
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