I guess valuation will be irrelevant. Until it becomes relevant. And then my bubbly friends, this will be in for one ugly haircut.
Volatility reveals that this market setting up for a sharp and sudden decline. The good news is that the money that will be burned will be mostly the foolish money chasing the fumes of this dying market.
"Only" a 19 PE ratio. Too funny.
And yes, Mouse earnings will keep growing forever and ever. In fact, this would make a nice storyline for a new Disney feature, the fantasyland where a company keeps increasing earnings and all the bubbleheads live happily ever after.
DIS looking pretty comfortable and still mighty expensive there. Pretty soon the short visits will be trips back to the eighties.
and then I read the postings of the longs on the DIS board. They think they have found a "good company" and that this is reason enough to make an investment. Meaning of course, they aren't thinking.
Disconnect between market price and value. Doing well in earnings is only one part of the equation. Too many people forget that value is always relevant, and you won't find any of that here. This has a long way to decline until it is fairly valued. As does most of the broader market.
Not overvalued? 20 times peak earnings, 3 times revenues, 3 times book? Bubble and bubbles everywhere when you sleep? Don Ho singing Tiny Bubbles in the background?
Imagine that. Lots of empty space elevating this POS.
Who are you and what are you doing here? No common sense permitted on the DIS message board.
You are right about the coming haircut. This one has a lot of empty space underneath.