Which Mistake Would The Fed Prefer To Make?
Real Vision: Finance & Investing
00:00
Is Tech Overvalued?
John Chambers: I look at something like Nvidia and it's really hard for me to not think that Nvidia is overvalued because I'm an old fart. When I see 20 times revenue, a company trading on 20 times sales, I'm reminded of Cisco. Do you remember the speech that the CEO of Cisco gave before the dot-com bus in like 2000 and it's about 2000? And he basically said there is no way on earth. If you are expecting us to make a return on 20 times our sales, you are nuts Because no possible way that this company can generate that kind of a return on that. Sure enough, the stock collapsed. Even though the company itself is just fine
Play episode from 29:11
Transcript
