Summary:
The Dow Jones Index is approaching 10,000 and NASDAQ is nearing 2,000, while Amazon, Ebay and Yahoo are trading at nosebleed levels, once again. Is the stock market ripe for another implosion? Although investors are overpaying for these three bloated stocks, there is plenty of value located elsewhere in the market.
The Dow Jones Index is approaching 10,000 and NASDAQ is nearing 2,000, while Amazon, Ebay and Yahoo are trading at nosebleed levels, once again. Is the stock market ripe for another implosion? Although investors are overpaying for these three bloated stocks, there is plenty of value located elsewhere in the market.
What's dangerous? Plenty of investors seem to hope that history repeats itself, so they're buying the strongest survivors of the dotcom bubble, including the three quality tech warhorses named above, ignoring valuation. In fact, many tech stocks have surged to valuations unseen before, except during the bubble. While the bubble survivors are likely to remain viable companies and thrive in a healthy economy, their stock prices do not reflect their earnings prospects. Intel, Microsoft, Network Appliance, and quite a few other tech companies trade at multiples.....
This is a free excerpt of 135 words. There are 408 words (approx.
1 page at 300 words per page) in the full essay.
Read the rest of this Essay with our Three Bloated Pigs Access Pass.
