According to Market Realist's senior financials analyst: As the S&P 500 index approaches new highs not seen since 2007, the current market's P/E is some 2 multiple points lower than in '07 which means that stocks are not as expensive despite being close to making new highs. In concert with this more favorable valuation currently for stocks, we point out there is still ample cash on the sidelines that could be invested which could fuel even further gains for equities.