Comment on Norway’s mega wealth fund to reject Elon Musk’s $1 trillion Tesla pay package
mcv@lemmy.zip 1 month agoBy that argument nothing is ever overvalued because apparently that’s what the stockmarket says it’s worth. But crashes still happen.
FreedomAdvocate@lemmy.net.au 1 month ago
They’re valued at whatever people will pay for them.
mcv@lemmy.zip 1 month ago
That doesn’t mean that value is reasonable, though. The stockmarket has a rich history of hysteria and irrationality.
FreedomAdvocate@lemmy.net.au 1 month ago
It doesn’t have to be reasonable, it just has to be what the stock market values it at. That’s how valuations work.
mcv@lemmy.zip 1 month ago
Are your unaware that you are arguing towards a tautology? “It’s not overvalued because this is what it’s valued”. That’s meaningless.
If the assets, profits and projected growth do not justify the current valuation, it’s overvalued. That’s the case for Tesla.