200p Posted August 6, 2016 Share Posted August 6, 2016 The Nasdaq, is making ***all-time*** new highs at 5221ptsThis time, it isnt about eyeballs or mouse clicks. It's all about the amount of app downloads. It's only the start! What if 30m people download the app? Watch the advert below... Link to comment Share on other sites More sharing options...
MrPin Posted August 6, 2016 Share Posted August 6, 2016 Yes, people plough their savings into sh1t that will never work, because everyone else did. Isaac Newton got a bit stuffed with the "South Sea Bubble". I only invest in sh1t that works with some real customers! I suppose I am unadventurous! Link to comment Share on other sites More sharing options...
Eddie_George Posted August 6, 2016 Share Posted August 6, 2016 Yes, people plough their savings into sh1t that will never work, because everyone else did. Isaac Newton got a bit stuffed with the "South Sea Bubble". I only invest in sh1t that works with some real customers! I suppose I am unadventurous! To be fair, Newton wasn't the sharpest tool in the box. Link to comment Share on other sites More sharing options...
MrPin Posted August 6, 2016 Share Posted August 6, 2016 I still finds amazing when I look at valuations for the likes of Facebook, Twitter, airbnb. It's insane. Just ad-slingers! Don't actually make anything. There's always fools out there! Link to comment Share on other sites More sharing options...
spunko2010 Posted August 6, 2016 Share Posted August 6, 2016 The valuation of Twitter isn't that high these days. Their share price is through the floor. Facebook owns quite a few businesses and websites if you look so I think investors are banking on those rather than their namesake website. Link to comment Share on other sites More sharing options...
JoeDavola Posted August 6, 2016 Share Posted August 6, 2016 The valuation of Twitter isn't that high these days. Their share price is through the floor. Facebook owns quite a few businesses and websites if you look so I think investors are banking on those rather than their namesake website. Twitter has messed up by censoring free speech, and becoming a SJW-only platform. Regarding insane dot com company valuations, I was browsing on LinkedIn a couple of days back and saw a profile of a chap a fair bit younger than me who had himself listed as CEO and CTO of various companies. I wondered how he could have done this despite being 22, and it turned out he had several attempted startups behind him. I checked out his latest startup, went to their website and had a read, and for the life of me I couldn't work out what the company actually did. Loads of technical mumbo jumbo but nothing that really summed up what exactly they did, and who would want to use it. To put things in perspective, I've made a living for the last 10 years from programming, so if I can't understand what a company does then what chance do most people have. Link to comment Share on other sites More sharing options...
The Masked Tulip Posted August 6, 2016 Share Posted August 6, 2016 Standby for a sizeable correction. Volume has been lousy. These stocks have been pumped up on thin air. The NASDAQ COT contracts, as of yesterday afternoon US time, have the largest short position for 18 months. Some other indicators suggest that the big boys are positioned for a drop. That's not to say that it will not go higher but we should see a sizeable pull-back in the next 8 to 10 days. Link to comment Share on other sites More sharing options...
mubes Posted August 6, 2016 Share Posted August 6, 2016 I'm quite heavily invested in the NASDAQ. IMO it is not the same. Last time round, there was little actual profit. Stock prices have risen but so have earnings. Facebook is profitable. Apple has a low PE ratio for a tech company. Amazon is just starting to make profit. These companies are trending upwards. A long term downward trending price to earnings ratio is not the biggest bubble in the world. I agree the overall PE is high for the index , but for tech, this prices in a lot of future growth. The only real question is do you agree with the market re projected growth or not. Apple's PE ratio is pretty low for a tech company. Link to comment Share on other sites More sharing options...
The Masked Tulip Posted August 7, 2016 Share Posted August 7, 2016 The recent fall in earnings usually ends up with a 20% crash. https://www.thefelderreport.com/2016/07/28/over-the-past-50-years-this-sort-of-earnings-recession-has-never-failed-to-trigger-a-bear-market/ Link to comment Share on other sites More sharing options...
Ash4781 Posted August 7, 2016 Share Posted August 7, 2016 Elon Musk, and the Amazon chap, google and probably many more US companies are doing interesting , atleast to read about, projects. I'm not sure about the UK. Hear alot more about apps. Hungryhouse springs to mind - think that one is valued in the billions £. My experience is the app works well but the food still comes from the same shitty takeaways. Still with some people almost addicted to smartphones maybe that's the way to go? Or maybe offering smartphone addiction counselling? Link to comment Share on other sites More sharing options...
The Masked Tulip Posted August 7, 2016 Share Posted August 7, 2016 Seven Sentinels chart: VIX Lowest Today (5th August) Since One Year Ago - The 2 Lowest Readings in Last Two Years. Here's What Followed the 8-5-15 VIX Low Link to comment Share on other sites More sharing options...
The Eagle Posted August 7, 2016 Share Posted August 7, 2016 I still finds amazing when I look at valuations for the likes of Facebook, Twitter, airbnb. It's insane. It's simply a consequence of zero/negative interest rates and unlimited free money printed by the central banks. Link to comment Share on other sites More sharing options...
mubes Posted August 7, 2016 Share Posted August 7, 2016 It's simply a consequence of zero/negative interest rates and unlimited free money printed by the central banks. So people don't think the huge profits being made by many of these companies has anything to do with the stock market prices???? Link to comment Share on other sites More sharing options...
The Masked Tulip Posted August 7, 2016 Share Posted August 7, 2016 So people don't think the huge profits being made by many of these companies has anything to do with the stock market prices???? Actually, earnings this year are amongst the worst earnings for many years. Which makes the sky-high share prices even more crazy. Link to comment Share on other sites More sharing options...
mubes Posted August 8, 2016 Share Posted August 8, 2016 Actually, earnings this year are amongst the worst earnings for many years. Which makes the sky-high share prices even more crazy. Ok, I didn't know that. I don't have any data, can you share? Just to be clear, I'm talking about tech stocks, and particular the nasdaq 100 f we are talking tech bubble this seems like a good place to start. , so we are talking Apple, google etc. I had a quick search and can't find any figures or news on earnings collapse this year. But I can see the PE figures haven't moved massively, and the forward PE is down not up at only 20. 8/5/2016†24.35 Year ago†22.75 Estimate 12 months 20.05 Link to comment Share on other sites More sharing options...
200p Posted August 8, 2016 Author Share Posted August 8, 2016 Don't take me wrong, if these stock index levels remain at these levels, it's "blue sky". It's bullish. This is one of my favourite stock market documentaries from 1997. How much of your life savings are in the stock market? Almost all of it! Why not put it the bank? Well the bank only pays you 3%, you're not gaining ground. The stock market's faster! Sound familiar today at near 0% less saving rates?!! Link to comment Share on other sites More sharing options...
The Masked Tulip Posted August 8, 2016 Share Posted August 8, 2016 Ok, I didn't know that. I don't have any data, can you share? Just to be clear, I'm talking about tech stocks, and particular the nasdaq 100 f we are talking tech bubble this seems like a good place to start. , so we are talking Apple, google etc. I had a quick search and can't find any figures or news on earnings collapse this year. But I can see the PE figures haven't moved massively, and the forward PE is down not up at only 20. 8/5/201624.35 Year ago 22.75 Estimate 12 months 20.05 Oddly enough, within minutes of my post last night zerohedge posted an article on how poor earnings have been. I will try and post the link later but go have a look as it is probably still on the main page. Link to comment Share on other sites More sharing options...
The Masked Tulip Posted August 8, 2016 Share Posted August 8, 2016 FWIW, I am anticipating another flash crash like last Jan or last Aug where the DOW loses 10% or thereabout and then we are on the march to DOW 20,O00. The crash could come this week or next but I think it will come by Sept 1st. Then a big run up into the US election. Link to comment Share on other sites More sharing options...
mubes Posted August 8, 2016 Share Posted August 8, 2016 DOW is another index altogether. DOW has a high PE ratio and is arguably overvalued yes. BUT the OP links to NASDAQ chart is entitled Dot Com Bubble Part 2Is there solid data to suggest NASDAQ fundamentals are trending towards the conditions of dot com bubble part 1? I havn't seen it. NASDAQ is looking very fairly valued to me for a growth index. PE is lower than the DOW I think! Totally different to the first bubble where lots of valuations ignored low earnings. I'd be interested to hear what PE you think is fair value for the index. Link to comment Share on other sites More sharing options...
The Masked Tulip Posted August 8, 2016 Share Posted August 8, 2016 DOW is another index altogether. DOW has a high PE ratio and is arguably overvalued yes. BUT the OP links to NASDAQ chart is entitled Dot Com Bubble Part 2 Is there solid data to suggest NASDAQ fundamentals are trending towards the conditions of dot com bubble part 1? I havn't seen it. NASDAQ is looking very fairly valued to me for a growth index. PE is lower than the DOW I think! Totally different to the first bubble where lots of valuations ignored low earnings. I'd be interested to hear what PE you think is fair value for the index. They are all interconnected. It is stupid to suggest otherwise. Link to comment Share on other sites More sharing options...
mubes Posted August 8, 2016 Share Posted August 8, 2016 They are all interconnected. It is stupid to suggest otherwise. Any thoughts on fair value for NASDAQ 100 or not? Just trying to address the OPs graph. Link to comment Share on other sites More sharing options...
The Masked Tulip Posted August 8, 2016 Share Posted August 8, 2016 Any thoughts on fair value for NASDAQ 100 or not? Just trying to address the OPs graph. I think the NASDAQ, DOW, S&P and FTSE are all going to go higher. BUT... we are probably going to have a decent correction first of all. Giving random numbers of how high a market can go is the realm of crystal balls. It would not surprise me that the big boys engineer a bit of a bounce this week in order to sell out to retail and then we will get a crash sometime later this month. It could be this week or next. Who knows. After which, I expect we will go up higher and higher as the US uses any crash to put IRs off the table and to do a Carney style QE. Just my two cents. I could be very wrong of course. Link to comment Share on other sites More sharing options...
mubes Posted August 8, 2016 Share Posted August 8, 2016 What makes you think a sector wide tech correction is coming this summer of all summers? An election thing? Related to earnings? Any correction would make the top companies pretty cheap. Link to comment Share on other sites More sharing options...
The Masked Tulip Posted August 8, 2016 Share Posted August 8, 2016 We will see. Link to comment Share on other sites More sharing options...
mubes Posted August 8, 2016 Share Posted August 8, 2016 We will see. Of course, just wondering if there is any reasoning to your prediction. Link to comment Share on other sites More sharing options...
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