We know that machine learning is just not there, yet. Isn't it possible that algos are making huge mistakes with how they are valuing companies, especially “future” companies? I'm sure there are easy ways for machine learning to look at sales to debt, etc., but does it take into account , for instance: CEO's past success, a nascent industry that the company is entering, popularity amongst customers , number of competitors, etc. etc. etc. There are tons of them, those are just a couple I was thinking of that may or may not apply.
In any case, my point is this: Perhaps the algos are pushing down a bunch of companies that really have what appears to be a bright future to many traders that are looking at these companies from a different perspective. You can talk about numbers all you want, but some of the greatest companies of all time have had really bad debt, etc. , and that is to be expected from a company trying to grow .
Perhaps we're in the midst of a true buying opportunity here, unlike anything we've seen before. Perhaps these algos that are controlling a lot of the trading these days, are not quite there yet and are missing some big pieces of the puzzle.
Maybe I'm just an internal optimist, but I feel like there are some AMAZING buying opportunities., unlike anything I've ever seen.
Leave a Reply