Huge announcement from Apollo this morning:
"The current AI bubble is bigger than the tech bubble of the 1990s."
Essentially, Apollo simply said that the Dot-com bubble was just a precursor to what we have now.
They note that the Forward P/E ratio for the top 10 tech stocks is now ~40x.
Compared to 2000, the peak of the dot-com bubble, the Forward P/E ratio for the top 10 tech stocks was ~26x.
This is also significantly higher than the peak values of ~23x observed in 1990 and ~26x observed in 1995.
Meanwhile, the S&P 500 as a whole has a Forward P/E ratio of ~22x, below levels seen in 2010 and 2015.
Are we in the biggest bubble of all time?
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