• mcv@lemmy.zip
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    6 days ago

    By that argument nothing is ever overvalued because apparently that’s what the stockmarket says it’s worth. But crashes still happen.

      • mcv@lemmy.zip
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        6 days ago

        That doesn’t mean that value is reasonable, though. The stockmarket has a rich history of hysteria and irrationality.

        • FreedomAdvocate@lemmy.net.auBanned from community
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          4 days ago

          It doesn’t have to be reasonable, it just has to be what the stock market values it at. That’s how valuations work.

          • mcv@lemmy.zip
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            4 days ago

            Are your unaware that you are arguing towards a tautology? “It’s not overvalued because this is what it’s valued”. That’s meaningless.

            If the assets, profits and projected growth do not justify the current valuation, it’s overvalued. That’s the case for Tesla.

            • FreedomAdvocate@lemmy.net.auBanned from community
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              3 days ago

              It’s worth what someone will pay for it. The stock market is entirely speculative. Tesla is valued correctly.