sethnintendo on 12 September 2016
| BHeletrica said: How come a company that has just promisses AND DONT MAKE ANY PROFIT can be more stock valuable than companys that are profitable for years? |
Just look at Amazon for your question. Amazon for years didn't make any profit. It is the potential that inflates these stocks of companies that can't pull in profit. Sometimes that potential is finally realized as not being there (Twitter stock has tanked pretty much since its IPO). I see your point that some companies should never be valued more than others (Telsa shouldn't be more than Ford) but there is nothing stopping these investors from shooting themselves in the foot for trying to jump onto an inflated bubble.
