We’ve seen this film before. Before our pivot to AI, we wrote about crypto fraud. A cryptocurrency initial coin offering would start with a white paper made of impossible lies. Nobody cared because…
  • CinnasVersesEnglish
    12·
    13 days ago

    Who’s going to buy this profit-free stock selling for 100 times earnings?

    I think its worse than a P/E ratio of 100. It is 100 times revenue. Earnings in this context mean profits, so a company which is losing money has no P/E ratio. The argument is that if $100 of stock corresponds to $10 of profit last year (P/E 10), that is probably a better buy than if $100 of stock corresponds to $5 of profit last year (P/E 20).

    And yes, this looks to me like a crypto rugpull crossed with all the tricks which keep Tether prices and Tesla shares floating in midair.

    • fullsquareEnglish
      3·
      13 days ago

      i see no reason why P/E could be negative, then it works like negative absolute temperature