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I’m wondering why these companies are so hyped and valued at these astronomical levels. Honestly, nothing really impresses me enough to think, “Wow, this compan
by equasar 11mo ago
I’m wondering why these companies are so hyped and valued at these astronomical levels. Honestly, nothing really impresses me enough to think, “Wow, this company actually deserves that kind of valuation”.
These valuations are to the point point that this looks too close to money laundering, just like buying art.
- xgulfie 11mo agoIt's all very speculative and line keeps going up forever
- cgio 11mo agoI hear you, and mostly share the point of view, but that’s what people were saying about the instagram valuation too.
- nativeit 11mo agoWhat's the dollar-per-user figure between these two examples?
- disgruntledphd2 11mo agoInstagram only had approx 10mn users when acquired. That was a long time ago though, and Facebook was at a very different stage in its lifecycle.
- afavour 11mo agoSurvivorship bias, I think. Our go to is the big, high profile success. But look at the amount of money Zuck has wasted on the Metaverse. He’s most definitely fallible.
- mlsu 11mo agoBecause our markets are no longer efficient at allocating capital. These companies are too large, they don't compete. They can buy a company for half a billion and write it off a few months later, at the whim of someone deranged by hype. How many businesses in competitive markets can afford to do that?
- pishpash 11mo agoAnd the reason is all of you dumping cash into the market no matter what because John Bogle said so half a century ago.
- Synthetic7346 11mo agoI disagree - yes, some companies are overvalued, but it isn't because of index investors.
- mandeepj 11mo ago> I’m wondering why these companies are so hyped and valued at these astronomical levels. That’s all VCs do! They hype it to recover their money and some more :-)
- kshri24 11mo ago> this looks too close to money laundering, just like buying art Yep. Concur with this conclusion. It is getting really ridiculous now. No way most of these companies are at the valuation they are in. Or the investors are just plain stupid.
- throw-12-16 11mo agoThe crypto bros switched over to AI.
- filloooo 11mo agoBecause we are at a historic moment where governments are propping up fiat money using whatever they could. All these crazy valuations is just a manifestation.