Chief Market Strategist @WellingtonAltus. PhD Econ. Astute, observations and conclusions. Personal views. Not investment advice. Please do your own research.
AI’s future is not its current valuation.
We’re still in AI’s MS-DOS moment. Broad adoption across the economy and society still lies ahead.
The technology’s potential and the investment trade are different things. The “AI is the only game in town—own the bottleneck stocks and lever up” free-lunch phase is over.
Chip names (Nvidia, TSMC, Micron) may still have room. The bigger risk is richly valued AI-linked stocks whose prices raced far ahead of revenues. The latest correction looks like the market starting to make that distinction.
AI itself doesn’t have to roll over. Rationality may simply be returning and the fever phase ending.