Bleakley: The valuation of home stocks still needs to be adjusted

$DocuSign (DOCU.US)$ $Zoom Communications (ZM.US)$ Bleakley analyst Peter Boockvar said on Tuesday that the valuation of home stocks such as DocuSign (DOCU) and Zoom (ZM) may still need to be adjusted according to the world after the epidemic, even if they have recently suffered a sell-off.

"I think these companies will adapt to the post-epidemic environment, but I think their internal multiples are still quite high and still need to be adjusted," the chief investment officer of Bleakley Consulting Group told CNBC.

Boockvar acknowledged that many of these companies have gained a firm foothold and that they are not facing fundamental collapse as restrictions on COVID are being relaxed. However, he does believe that some of these stocks are still "expensive" despite a sharp drop from their highs earlier this year.

He said: "Even in a world where there is no epidemic and no work from home, these companies have already gained a foothold." "The question is just where their valuation will be settled."

Article excerpted from the US Stock Research Agency