NVIDIA, the poster child of the current artificial intelligence, AI boom is overvalued by more than 60 %.
Yes, AI will change profoundly our world, but akin to the dot-com boom and bust in 2000, the artificial intelligence, AI expectations are getting ahead of themselves.
Wall Street equity research analysts are forecasting too optimistic revenue and earnings per share for the Magnificent 7 Apple, Microsoft, Alphabet, Amazon, Meta, Tesla and NVIDIA and generally technology stocks.
On the other hand, Wall Street economists are forecasting too rosy economic growth and employment numbers.
The global stock markets rally and the global economy and labor market are a 'house of cards' at the moment, in Wolfteam Ltd.'s view, which any macroeconomic negative shock, mid-sized bank failure or negative developments could tumble and cause a 60 % + stock market fall measure by leading US and global stock market indices and a - 6 % economic recession in the first year, - 4 % recession in the second year and -2 % recession in the third consecutive year. Stocks fall and recession numbers that come close, but do not equal Great Depression numbers.
Again, NVIDIA as the most famous stock driving the AI stock market rally is intrinsically overvalued by more than 60 %.
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