cheeryx
08-05

$Microsoft(MSFT)$ The multiples on tech companies are insane. Even stocks like MSFT are expensive at 35x earnings. People just say "MSFT is a money printer" etc, but that doesn't justify any valuation lol. A decade ago, it was 10–15x earnings.

I read someone argue it was because of inflation, which is total BS lol, devaluation of currency increases earnings and stock price, it isn't supposed to affect earnings ratios drastically. The only explanation is that people expect these tech companies to grow faster than ever.

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