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You said "company values seem completely unhinged from reality". What do you mean by that?

• _heimdall 1y ago
  I could have been more clear there for sure. I don't understand the multiples being offered to companies today in the stock market. Specifically I'm thinking about multiples relative to revenue, earnings, or profit. When I'm investing in a business I want to know how quickly I can get my money back, and how risky I think the investment is relative to my expected gains. When I'm investing in baseball cards I want to know how much the next person will pay me for it. The stock market seems much more inline with that today, and in any reality where stocks are meant to be considered investment that seems disconnected or entirely unhinged.
  • ArtTimeInvestor 1y ago
    You don't understand the p/e ratios of any company? You mean they all seem much to high or much too low to you? Let's talk about a specific company then. Which one have you looked into recently?
    • _heimdall 1y ago
      I was talking about the average p/e ratios in the market today. Though they are around 1.7 standard deviations above historical trends, so while there will be some that aren't high relative to historic trends most are.
      • ArtTimeInvestor 1y ago
        Now we are back to the theory that above the historical average means high. I give up. We are talking in circles.