[quote=CA renter]If the country (and world economy) wasn’t in such dire straits, interest rates wouldn’t be this low and investors would have more (and better?) investment opportunities that might not be at all related to tech. Nobody knows what it would look like, but I don’t think we’d be seeing these valuations in tech if the economy were better and interest rates were normalized. I could easily be wrong, though.
I prefer to think of myself as an optimistic realist. ;)[/quote]
Do you remember 98-2000? Interest rates were higher and economy was booming. So, you’re right, we won’t be seeing these valuations in tech, we’d be seeing MUCH MUCH higher valuation. Try taking the P/E ratio of tech companies in 2000 and apply it to today’s earning. Let me know what Apple’s market cap would be?
