Anyone else here seeing the similarity between the “irrational exuberance” of the stock market, recent/current IPOs and mergers & acquisitions to those leading up to the major market corrections in 2001 & 2002?
Stock prices may have been reacting positively to these news. However, my interpretation of these M&A is that these companies probably realized there’s little or no growth in the near future and are using M&A as a way to create more value (read stock prices).
Out of curiosity, I searched it up and I found this site that shows 7 out of 10 largest M&A transaction worldwide occurred in 1999 & 2000.
