To calculate the ratio, we need to get data for both metrics: Total Market Value and GDP. (Buffett has since walked back those comments, hesitating to endorse any single measure as either comprehensive or consistent over time, but this ratio remains credited to his name).
Named after Warren Buffett, who called the ratio 'the best single measure of where valuations stand at any given moment'. The Buffett Indicator is the ratio of total US stock market value divided by GDP.
