Impact Of Tax Reform On Stock Prices

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Includes: BIBL, CHGX, CRF, DDM, DIA, DMRL, DOG, DUSA, DXD, EDOW, EEH, EPS, EQL, ESGL, FEX, FWDD, GSEW, HUSV, IVV, IWL, IWM, JHML, JKD, OMFS, OTPIX, PMOM, PPLC, PPSC, PSQ, QID, QLD, QQEW, QQQ, QQQE, QQXT, RSP, RVRS, RWM, RYARX, RYRSX, SCAP, SCHX, SDOW, SDS, SFLA, SH, SMLL, SPDN, SPLX, SPSM, SPUU, SPXE, SPXL, SPXN, SPXS, SPXT, SPXU, SPXV, SPY, SQQQ, SRTY, SSO, SYE, TNA, TQQQ, TWM, TZA, UDOW, UDPIX, UPRO, URTY, USA, USMC, USSD, USWD, UWM, VFINX, VOO, VTWO, VV, ZF
by: The Hendrick Firm PLLC
Summary

Tax reform is a game changer for the stock market.

It will be the greatest factor affecting stock prices this year.

The impact of tax reform will drive stock prices much higher.

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There is both confusion and uncertainty over the impact of tax reform on the stock market. This article provides an analytical framework to estimate the impact of tax reform on stock values. It further considers whether stocks are undervalued. The article concludes that after the recent pullback, most stocks are significantly undervalued, providing a buying opportunity for many stocks.

Disclosure: I am/we are long MO. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it. I have no business relationship with any company whose stock is mentioned in this article.