Icahn: The market is overvalued

Are the markets over valued? That's what one of the world's biggest investors is saying. But, is he right?

The market is at record highs after the Federal Reserve Bank announced that it will not reduce its $85 billion per month bond-buying program. That program, known as "quantitative easing", has kept interest rates near record lows low and helped propel the markets to record highs.

But now billionaire investor Carl Icahn thinks the market is overvalued (well, except when it comes to his investments in Apple or Herbalife).

(Watch: I survived Carl Icahn as a shareholder: Hain CEO)

Speaking on Thursday to CNBC's Maria Bartiromo, Icahn said:

"I think that right now the market is giving you a false picture. The market tells you you're doing well but I don't think a lot of companies are doing that well. They're taking advantage of very low interest rates. Obviously you don't have to be a financial genius to understand that if you can borrow at 3% or 4% and buy assets, maybe my own stock, that's yielding 9% or 10% or 11%, I'm going to make a lot of money."

So, is Icahn right?

(Watch: Is the market fairly valued?)

Analyzing what's next for the markets based on its fundamentals is John Stephenson, portfolio manager at First Asset Investment Management. On the charts is CNBC contributor Andy Busch author and publisher of the Busch Update.

To hear what Stephenson and Busch have to say about whether Icahn is right about the markets being overvalued, watch the video above.

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