I've appreciated Spencer Jakab since his book on the GameStop era ("The Meme-Stock Revolution That Wasn't"). Today he's out swinging in the WSJ about stock prices and valuations.
...and surprise, it's about Nvidia (#827513, #877723)
Looking over all the history available, developed-market large growth stocks were trading last week at 98th-percentile valuations based on the most reliable cyclically adjusted measures. That means they have been more expensive only 2% of the time. At the other end of the spectrum, developed-market large value is at the 2nd percentile, so it has been cheaper only 2% of the time. [...] the predicted return for U.S. large growth stocks is 1.8% annually over the next decade, which would be negative after inflation—the worst out of more than 40 asset categories tracked. The expected annual return for non-U.S. developed-market value stocks is 10%.
Put differently: the valuations are too goddamn high.
But then everything is relative, and we aren’t in Kansas any more when it comes to valuations. For Americans, there’s no place to avoid like home.
No place to put your money... and stupid orange coin doing orangutan things. Doesn't matter what the setup/fundamentals is for bitcoin: it's a macro asset now, and it's gonna get traded with the rest of them.
non-paywalled via MSM, apparently: https://www.msn.com/en-us/money/markets/stocks-have-a-big-expensive-problem/ar-AA1zFm9t
I'd be careful about that orange coin, word on the street is that it's a bubble and it's going to be dead at any moment.
certainly looks like it.
These gut-wrenching falls are just not good for anything or anyone.
I don't mind them. I'm just buying more anyway.
Guess I might as well shove it in here: #896188
Yea I'm completely out of fiat, I'll have some Friday, sort we will see what the price is then.
Why isn’t this posted in the stacker stocks territory?
Good point ... Guess I just forgot it was there. (And it's more of an econ/finance story, just with stupid title)
On the same note, but less concentrated on NVIDIA, a bitcoiner on twitter recently did a comparision on how long it took someone to buy an SP500 share.
Back in 1971, it took something like 12 hours to buy one share with minimum wage.
Nowadays, in 2025, it was something like 240 hours.
I'll look it up and perhaps post about it here.
True true. Alchian paper about assets in consumer price basket 70 years ago!!
With all of these companies buying up bitcoin for their reserves, the large drops will probably not be happening as often in the future.
Unless they all dump atthe same time.
anecdotally/personally doesn't seem that way. Someone needs to run the numbers and check, but it sure feels like we get gut-wrenching drops just as often as 5 or 10 years ago
I didnt realize the price had dropped so much recently.
I rarely look at it.
We will see a correction, unfortunately, I think bitcoin will take a hit if the market crashes.