Yo be clear not all companies are expected to grow. But growth is the main characteristic of a certain kind of companies, and the reason why their stock can hav

Yo be clear not all companies are expected to grow. But growth is the main characteristic of a certain kind of companies, and the reason why their stock can have very high PE ratio, because shareholders expect to get return in the stock going up instead of dividends. You have plenty of vale companies that pay dividends and do not grow very much, sustaining a healthy business on their market. But the transition between growth and value is a bit tough. You need to stop hiring like crazy, intern promotions suddenly go more stale as a result, stock compensation is hurt a lot so your employees might not be super happy with it, the story is also appealing to a completely different kind of people, and your stock goes down a lot at first, all your financing suddenly gets a lot more expensive etc. It is possible that we are witnessing that transition in some of the tech companies right now, as the symptoms match, but it really is too early to tell.