Am I going crazy, or is the real AI bubble in construction? We are all scrutinizing every move of chips and hyperscalers while the companies building out the data centers are soaring to absolutely absurd levels.
GE Vernova – Up 330% since tariff lows with a PE of ~32.
Caterpillar (I mean… come on) – 230% with a PE of ~47.
Vertiv – 509% with a PE of ~82.
I mean, come on, Generac is up 90% just this year.
These are companies that have absolutely no chance whatsoever at sustaining their growth and will have a rapid collapse post-buildout, if you even believe their current valuations at all, yet we hear nothing about their parabolic moves in media.
Posted by jcpopm
6 Comments
Really good point this fell off my radar
I remember that Bloomberg article about most data centers in 2026 have been canceled or delayed too
You might like EPB research’s videos on the housing market if ur thinming about construction. They are short and dense and easy to follow and explain why so many warning signs are appearing but it isn’t going down because of construction as like a last domino that needs to fall.
I don’t have any interest in promoting them beyond the fact their new videos I genuinely find insightful
Long gone the days of “actual” valuations.
CAT with PE of 47 is actually wild when you think about it 💀 Been watching some of these infrastructure plays and yeah the multiples are getting pretty insane
The whole data center buildout craze definitely feels like when everyone was buying oil rigs in 2008, these companies gonna get crushed once the hyperscalers slow down their capex 😂
These industrials companies are making lots of cash
What do you think they’re going to do with that cash? Blow it on hookers?
No. They’re going to invest it in new assets, better tech, etc.
Growth supports further growth.
So you’re saying that some stocks are cyclical? Wow. Mind blown.
Hahahahahahahahahahahahaha