S&P 500 tech stocks approach dot-com era valuation peak

U.S. technology stocks may soon be more costly than they ever were in the dot-com era. The S&P 500 Information Technology Index closed Monday at 7.43 times projected sales, according to data compiled by Bloomberg. That’s less than 0.3% from a record in March 2000. The industry is challenging the high 3 1/2 years after the S&P 500’s forward price-sales ratio first topped its own March 2000 peak. Technology-stock valuations are at odds with “unprecedented headwinds” such as fiercer competition, higher taxes and stricter regulations, Morgan Stanley Wealth Management wrote in a report Monday.