Historical PE of MSFT is 17, more double recently. The reason it's 400 is nothing other than high market valuations. If went back to Apple's current PE, 310/shr. Still 2T company. 8 red candlesticks in a row since jan30…. who’s buying this. This market is actually worse than the dot com bubble. Sell take your profits before sell off.. holy smokes crazy. 🤪
The fact that this dropped after good earnings just confirms this market is not tradable anymore. They’ve made it so ridged due to retail investors getting good. Only way to make money in this market is honestly selling options. It’s gotten to the point we can be in great earnings but share price will be back to what it was two years ago. The company had great earnings, yes it is possible one of the best companies on the planet, but you're paying 400k for 300k car. If the market doesn't have pullback, will have bigger crash later. Tradable yes, investable no. The DOW added 6,000 points in 3 months. It was an insane run up on rate cut hopes because the economy is red hot. Makes sense right?
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