Jurrien Timmer(@TimmerFidelity):As disturbing as the near-perfect price analog is between the semis today and the internet stocks 26 years ago (see below), the critical difference is that earnings were non-existent in 1999 and 2000 while they are booming today. So, at forward P/E of 20x, there is no valuation bubble as far as I can see. If the AI theme unravels at some point, my guess is that it will be because investors are choking on the firehose of capital raises as opposed to being deceived by earnings that don’t materialize.

2026.09.23 12:52

As disturbing as the near-perfect price analog is between the semis today and the internet stocks 26 years ago (see below), the critical difference is that earnings were non-existent in 1999 and 2000 while they are booming today. So, at forward P/E of 20x, there is no valuation bubble as far as I can see. If the AI theme unravels at some point, my guess is that it will be because investors are choking on the firehose of capital raises as opposed to being deceived by earnings that don’t materialize.