In this week’s Guest EVA, we’ve got two of the financial world’s heaviest heavyweights weighing in on one of the weightiest investment questions: Is the Stock Market Overvalued?
At the beginning of 2018, we initiated a new EVA series titled “Bubble 3.0” with excerpts from my upcoming book (tentatively titled “Bubble 3.0: How Central Banks Created the Next Financial Crisis”).
Last week, I had the good fortune of hearing two thought-leaders speak at separate events. One gentleman I listened to is a Corporate Vice President (CVP) at Microsoft and is leading the technology giant into its next phase of growth and development. The other gentleman was John James, a very impressive 37-year old running for US Senate in the state of Michigan.
The main buzzwords in today’s tech space are IoT (Internet of Things), Big Data, Cyber Security, Cloud Computing, Blockchain, and AI (Artificial Intelligence). While some of these terms might be unfamiliar to our readers, the various applications of these business opportunities in today’s connected world are nearly limitless. This has led to an influx of investment and interest in all of the aforementioned spaces – by individuals, Venture Capitalists (VCs), corporations, and governments alike.
Are US stocks more overvalued than at any other time except 1929 or 1999? Or are they even more expensive? Or are they reasonably priced, as so many media commentators and Wall Street strategists contend? The answer sort of reminds me of the old story of various people applying to be hired as an accountant at a certain firm.