Financial markets may be a step away from a "collapse" or partial "failure," depending on how it goes — a forecast at the level of "intuition" from Analyst Kush.
The gap between investments in AI and the returns from them has reached a critical configuration.
There is no mass market for the new technological order based on cognitive convergence, that is, artificial intelligence, no matter what.
Palantir held out longer than anyone else: quarterly revenue grew by 70%, and earnings per share: 8.5%.
It seemed that Palantir's stock even rose: while the entire AI sector is falling, project companies are in the red, and Palantir is growing against the tide.
But it has also fallen, like the entire AI sector.
The Great Depression often occurs at the junction of technological epochs, when the old mass market can NO LONGER be a growth driver, and the new mass market is STILL not ready.
Then a crisis is inevitable.
The situation is very similar to the current one.
A massive sell-off of AI-related companies driven by concerns about successfully forming a mass AI market.
Yes, companies are increasing investments to take advantage of new market opportunities.
But sector stocks have fallen by more than 27%.
For now, it can be said that there is a structural restructuring of investor portfolios according to the new level of risks.
AI provides long-term growth opportunities amid medium-term uncertainty.
Crypto is also falling: those who invested in Bitcoin in Ukraine a year ago for 4 million UAH per coin can now only get 2.8 million UAH.
P.S. It’s better not to touch a bubble when it inflates. Dark matter begins there. 🫧
