# iseq index too high



## joe sod (19 Mar 2005)

The iseq index appears to be at very high levels at the moment. It is up 200% since 1995 compared with 100% rise for the german dax and 53% rise for FTSE 100. I appreciate that this was because of the extraordinary growth of the celtic tiger era. However I think it is now overvalued if companies in the iseq start issuing profit warnings then I think there could be a considerable fall.


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## ClubMan (19 Mar 2005)

Precisely why is it "too high"? Why should the performance of other indices/markets indicate that this might be the case?


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## Brendan Burgess (22 Mar 2005)

The ISEQ is a strange concept with a few individual shares accounting for a very large proportion of its value. The rise and fall of Elan, for example has a huge impact. I doubt if any share affects the FTSE or DAX as much.

You need to look at the major components, such as Elan, AIB, CRH and Bank of Ireland to see if you consider that they are fairly valued. 

Brendan


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