Leon Cooperman sees ‘euphoria’ in parts of market, says he’s skeptical on long-term outlook

Billionaire investor Leon Cooperman told CNBC on Wednesday he believes the stock market will struggle to generate meaningful returns in the years ahead, following its robust recovery from pandemic-era lows in the last 10 months.

“I think the near-term outlook is probably OK. Long term, I think that we’re borrowing from the future,” Cooperman said on “Squawk Box.”

“Whenever you bought into the market when it was selling at the present multiple of, say, 22 times or higher, you’ve never really made any serious money one year, three year, five years out. I think that’s what we’re looking at,” added the chairman of the Omega Family Office.

Accommodative monetary policy from the Federal Reserve, along with aggressive fiscal stimulus provided by Congress, in response to the pandemic, is just “pouring more fuel in the fire” on Wall Street, Cooperman said.

“There’s a meaningful chunk of the market today that’s in euphoria. You see 50% price moves. You see a SPAC a minute. That’s stuff that’s ringing the bell,” said Cooperman.