{"id":17824,"date":"2025-08-23T06:54:07","date_gmt":"2025-08-23T06:54:07","guid":{"rendered":"https:\/\/www.europesays.com\/ie\/17824\/"},"modified":"2025-08-23T06:54:07","modified_gmt":"2025-08-23T06:54:07","slug":"us-tech-bubble-talk-is-overblown-the-irish-times","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/ie\/17824\/","title":{"rendered":"US tech bubble talk is overblown \u2013 The Irish Times"},"content":{"rendered":"<p class=\"c-paragraph paywall \">Bubble, crash, collapse: recent market headlines have read like a doomsday thesaurus for <a href=\"https:\/\/www.irishtimes.com\/tags\/artificial-intelligence\/\" target=\"_self\" rel=\"nofollow noopener\" title=\"https:\/\/www.irishtimes.com\/tags\/artificial-intelligence\/\">artificial intelligence<\/a>.<\/p>\n<p class=\"c-paragraph paywall \">The recent technology stock sell-off generated much excitable commentary. Fuelling the apparent gloom were warnings from <a href=\"https:\/\/www.irishtimes.com\/tags\/openai\/\" target=\"_self\" rel=\"nofollow noopener\" title=\"https:\/\/www.irishtimes.com\/tags\/openai\/\">OpenAI<\/a>\u2019s <a href=\"https:\/\/www.irishtimes.com\/tags\/sam-altman\/\" target=\"_self\" rel=\"nofollow noopener\" title=\"https:\/\/www.irishtimes.com\/tags\/sam-altman\/\">Sam Altman<\/a>, who admitted AI investors may be \u201coverexcited\u201d, and an MIT study suggesting 95 per cent of corporate AI pilots have delivered no measurable return.<\/p>\n<p class=\"c-paragraph paywall \">A recent downbeat note from Apollo economist Torsten Slok, arguing today\u2019s AI boom is frothier than the dotcom bubble, also did the rounds.<\/p>\n<p class=\"c-paragraph paywall \">However, the bursting-bubble narrative feels overcooked. Firstly, stocks can\u2019t rise every day, and this looked more like routine profit-taking than panic.<\/p>\n<p class=\"c-paragraph paywall \">Secondly, valuations are not uniform. Yes, some names \u2013 Tesla, Palantir \u2013 look incredibly expensive. Others don\u2019t. <\/p>\n<p class=\"c-paragraph paywall \">Google, for example, trades on a cheaper multiple than the S&amp;P 500.<\/p>\n<p class=\"c-paragraph paywall \">Thirdly, elevated trailing price-earnings (PE) ratios \u2013 the favoured choice of tech stock sceptics \u2013 don\u2019t tell us much. Even forward PE ratios can be misleading, says Ritholtz Wealth Management\u2019s Matt Cerminaro. <\/p>\n<p class=\"c-paragraph paywall \">Adjust for earnings growth using PEG ratios and the so-called magnificent seven (excluding Tesla) start to look cheap, he says, second only to energy in relative value.<\/p>\n<p class=\"c-paragraph b-it-article-body__interstitial-link\">[\u00a0<a aria-label=\"Open related story\" class=\"c-link\" href=\"https:\/\/www.irishtimes.com\/world\/europe\/2025\/06\/17\/why-greeks-are-in-pole-position-when-it-comes-to-artificial-intelligence\/\" rel=\"noreferrer nofollow noopener\" target=\"_blank\">Why Greeks are in pole position when it comes to artificial intelligenceOpens in new window<\/a>\u00a0]<\/p>\n<p class=\"c-paragraph paywall \">Of course, one may question whether current tech earnings are sustainable. Still, Cerminaro\u2019s conclusion \u2013 \u201ctech\u2019s not as expensive as you think\u201d \u2013 seems reasonable. <\/p>\n<p class=\"c-paragraph paywall \">Expensive on the surface, perhaps, but hardly the stuff of a bubble bursting.<\/p>\n","protected":false},"excerpt":{"rendered":"Bubble, crash, collapse: recent market headlines have read like a doomsday thesaurus for artificial intelligence. The recent technology&hellip;\n","protected":false},"author":2,"featured_media":17825,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[261],"tags":[291,289,290,18,823,19,17,5921,9874,308,82,1298],"class_list":{"0":"post-17824","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-artificial-intelligence","8":"tag-ai","9":"tag-artificial-intelligence","10":"tag-artificialintelligence","11":"tag-eire","12":"tag-google","13":"tag-ie","14":"tag-ireland","15":"tag-open-ai","16":"tag-palantir","17":"tag-sam-altman","18":"tag-technology","19":"tag-tesla"},"share_on_mastodon":{"url":"","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/17824","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/comments?post=17824"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/17824\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media\/17825"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media?parent=17824"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/categories?post=17824"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/tags?post=17824"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}