Tech stocks are trading at a 30-year-low when compared to the multiples of industrials (companies). It's the weirdest bubble when everyone hates everything.
Sentiment: NEGATIVE
I don't think objectively we are in a tech bubble when tech stocks are at a 30 year low.
Today's stock market actually hates technology, as shown by all-time low price/earnings ratios for major public technology companies.
I think the tech stock, the public market is still completely traumatized by the dotcom crash. I think the investors and reporters and analysts and everybody is determined to not get taken advantage of again, and that is what everybody who lived through 2000, what they kind of remember.
I think you have to learn that there's a company behind every stock, and that there's only one real reason why stocks go up. Companies go from doing poorly to doing well or small companies grow to large companies.
Big companies are looking closer term, and even the most technological companies spend less than 1% of sales on research. Startups have suffered the burst bubble.
Tech executives have historically been owners of significant portions of their companies' stock so there is a propensity for them to diversify as a rule.
Stock market bubbles don't grow out of thin air. They have a solid basis in reality, but reality as distorted by a misconception.
I think that stocks have been this tremendous, tremendous equalizer for people in this country. Guys who can't make a lot of money at their jobs have been able to make a lot of money in the stock market.
The stock market is overpriced. Everything is overpriced. Junk is king.
Tech companies don't exist in a bubble; they draw from and feed into a larger community. Ideally, the relationship is symbiotic.