lucky-photographer
Still a Strong Sell
I last rated the Invesco QQQ (NASDAQ:QQQ) as a Strong Sell on November 27th, 2024, and since then, QQQ is down by around 8%. The basic bearish thesis at the time was that the Nasdaq 100 was a
QQQ: Nasdaq 100 Is Still A Bubble - Sell
Summary
- The Nasdaq 100 is still trading at a very high PE ratio of 27, with the major component stocks trading at a PE over 30.
- There are indications that GenAI capex is slowing, which is the trigger that is likely to accelerate the bubble burst, once confirmed.
- Given the current protectionist policies, major tech companies are facing higher costs and lower global revenues - both pointing to lower earnings.
Commodity Trading Adviser (CTA), member of National Futures Association. Professor of Finance, research on Global-macro issues. Editor-in-Chief, Journal of Corporate Accounting and Finance.
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