Fair points about AMZN and TSLA. They are at the high end of value and would not recommend buying right now - wait for a pull back - but I would argue these aren't really bets on the companies and so traditional valuations are not going to tell the whole story - they're bets on Bezos and Musk and emerging business and product innovations that are in uncharted territory. Bezos has the better track record, and until the regulators start to come down on AMZN, I don't see their expansion slowing.Malcolm wrote: ↑Tue Feb 06, 2018 4:54 pmBuy a fund to take advantage of amazon. It is too volatile on the best of days for most people's comfort.Queequeg wrote: ↑Tue Feb 06, 2018 4:40 pmAMZN... Its expensive, but until the regulators start trying to break it up, they'll just keep bringing their capital to the table and disrupting industries with inefficiencies... very interested to see what they are going to do to the health insurance industry...
Apple has much better fundamentals. P/E ratio 16.22, Mkt. cap 811.89B
Amazon - P/E ratio 226.99, Mkt cap 675.09B
In other words, if you buy Amazon, you are paying $226.99 for every dollar of asset value. This is not a bargain. Amazon is way, way, over priced. Same with Tesla. It's a suckers bet.
I agree on AAPL. Solid financials and in terms of product, they've got a cult - the Apple Store aesthetic looks like such a nice and pleasant future! I want to live there!
In general, though, I would not recommend jumping into the market new right now if you've never been. There are aspects of this market that are really weird and could blow up. Do your homework. Get in slow. Like Malcolm touched on, start with funds, and as you get a feel for what's going on, focus on industries that you can relate to, and then you can start placing specialized bets.
Actually, investing is a great dharma practice in certain respects. You need to cultivate detachment and equanimity. Attachments can get you killed.