We are currently living in a technology companies artificial intelligence, AI bubble, according to Wolfteam Ltd.'s projections and estimates. Much like the internet connected dot-com bubble in 2000.
The AI bubble is exemplified by the Magnificent 7 technology companies, namely Apple, Microsoft, Alphabet, Amazon, Meta, NVIDIA and Tesla. To these AI bubble stocks the following AI bubble stocks can be added, namely Palantir, Arista Networks, Arm Ltd.
On average, the aforementioned AI stocks are 53 % overvalued, according to Wolfteam Ltd.'s view. The overvaluation of arguably the poster stock of this AI bubble NVIDIA is 71 %. Tesla is overvalued by 82 %.
However, the bursting of the AI bubble could be looked upon positively. After the bursting of the internet dot-com bubble, the waters cleared and companies like Amazon and Alphabet emerged. Even Meta Platforms, Inc, Facebook, WhatsApp and Instagram's owner was founded in 2006, not long after the dot-com bubble burst.
That said, the AI bubble must not be let get out of all proportions, so as not to severely disrupt the economy, according to Wolfteam Ltd.'s view.
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