{"id":117433,"date":"2025-11-02T09:38:08","date_gmt":"2025-11-02T09:38:08","guid":{"rendered":"https:\/\/www.newsbeep.com\/ie\/117433\/"},"modified":"2025-11-02T09:38:08","modified_gmt":"2025-11-02T09:38:08","slug":"nvidia-and-the-perils-of-predicting-stock-bubbles-the-irish-times","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/ie\/117433\/","title":{"rendered":"Nvidia and the perils of predicting stock bubbles \u2013 The Irish Times"},"content":{"rendered":"<p class=\"c-paragraph paywall \">When <a href=\"https:\/\/www.irishtimes.com\/tags\/nvidia\/\" target=\"_self\" rel=\"nofollow noopener\" title=\"https:\/\/www.irishtimes.com\/tags\/nvidia\/\">Nvidia<\/a> was first valued at $1 trillion in 2023, warnings flew. IG asked if it was a \u201c$1 trillion bubble of epic proportions\u201d, and fretted that <a href=\"https:\/\/www.irishtimes.com\/tags\/artificial-intelligence\/\" target=\"_self\" rel=\"nofollow noopener\" title=\"https:\/\/www.irishtimes.com\/tags\/artificial-intelligence\/\">AI<\/a> hype might be history repeating itself, noting that tech stocks often ride hype \u2013 blockchain, crypto, Web3 \u2013 before investors\u2019 enthusiasm fizzles.<\/p>\n<p class=\"c-paragraph paywall \">By March 2024, Nvidia was worth more than $2 trillion. <\/p>\n<p class=\"c-paragraph paywall \">\u201cNvidia\u2019s surge stokes talk of a bubble,\u201d headlined the Wall Street Journal, noting the stock\u2019s 18-month sevenfold rise. It quoted high-profile economist Torsten Slok, who was warning that the \u201ccurrent AI bubble is bigger than the 1990s tech bubble\u201d.<\/p>\n<p class=\"c-paragraph paywall \">Fast forward: Nvidia has now become the first company ever to reach a market value of $5 trillion, up roughly 12-fold since the launch of <a href=\"https:\/\/www.irishtimes.com\/tags\/chatgpt\/\" target=\"_self\" rel=\"nofollow noopener\" title=\"https:\/\/www.irishtimes.com\/tags\/chatgpt\/\">ChatGPT<\/a> in November 2022. <\/p>\n<p class=\"c-paragraph paywall \">The market has spoken, and so far, the bears have been wrong. That doesn\u2019t mean valuation concerns are unwarranted. <\/p>\n<p class=\"c-paragraph b-it-article-body__interstitial-link\">[\u00a0<a aria-label=\"Open related story\" class=\"c-link\" href=\"https:\/\/www.irishtimes.com\/your-money\/2025\/10\/21\/european-spending-on-chatgpt-stalls-despite-soaring-openai-valuation\/\" rel=\"noreferrer nofollow noopener\" target=\"_blank\">European spending on ChatGPT stalls despite soaring OpenAI valuationOpens in new window<\/a>\u00a0]<\/p>\n<p class=\"c-paragraph paywall \">Also, the rally remains narrow: on October 28th, the S&amp;P 500 rose, yet nearly 80 per cent of its stocks fell, marking the weakest breadth ever for a positive day. <\/p>\n<p class=\"c-paragraph paywall \">A few mega-caps like Nvidia are arguably carrying the market, masking broader weakness. Still, the Nvidia episode is a reminder of the importance of humility. <\/p>\n<p class=\"c-paragraph paywall \">The future is always uncertain, and spotting a bubble is easier in retrospect than in real time. <\/p>\n<p class=\"c-paragraph paywall \">Nvidia\u2019s extraordinary gains have been matched by extraordinary earnings, showing how warnings that sound prudent can prove painfully premature.<\/p>\n<p class=\"c-paragraph b-it-article-body__interstitial-link\">[\u00a0<a aria-label=\"Open related story\" class=\"c-link\" href=\"https:\/\/www.irishtimes.com\/your-money\/2025\/10\/11\/openais-network-of-deals-is-propping-up-the-ai-boom\/\" rel=\"noreferrer nofollow noopener\" target=\"_blank\">OpenAI\u2019s network of deals is propping up the AI boomOpens in new window<\/a>\u00a0]<\/p>\n","protected":false},"excerpt":{"rendered":"When Nvidia was first valued at $1 trillion in 2023, warnings flew. IG asked if it was a&hellip;\n","protected":false},"author":2,"featured_media":117434,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[20],"tags":[220,218,219,61,60,233,80],"class_list":{"0":"post-117433","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-artificial-intelligence","8":"tag-ai","9":"tag-artificial-intelligence","10":"tag-artificialintelligence","11":"tag-ie","12":"tag-ireland","13":"tag-nvidia","14":"tag-technology"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts\/117433","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/comments?post=117433"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts\/117433\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/media\/117434"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/media?parent=117433"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/categories?post=117433"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/tags?post=117433"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}