“自20世纪20年代以来，我们还未见到过重大科技繁荣与大规模的管制放松和减税同时发生的可能性，Bank of America said there is still room for further expansion in the valuation of technology stocks. Bank of America is selectively bullish on technology stocks. The best-performing stock data over the past 30 years shows that investors who have held “the right technology stocks” for a long time have received amazing returns.
With the release of a “double” dividend package, US technology stocks may usher in a major explosion period...
Recently, Bank of America released the latest report saying that the technology sector may see a real”Fused“Style ascent”:
“Since the 1920s, we haven't seen the possibility that a major technological boom could occur simultaneously with large-scale deregulation and tax cuts. Historically, both of these have contributed to a major boom in the stock market.”
Bank of America believes that although the valuation of technology stocks has risen significantly since 2022, it is still lower than the valuation during the tech bubble period, which means that the current valuation still has room for further expansion. During the tech bubble, the Nasdaq index grew 11 times, and volatility continued to rise over five years. In contrast, the volatility of the AI era has so far been relatively moderate.
Furthermore, unlike the tech bubble of the 90s, current tech stock prices are not out of touch with fundamentals. However, the current bull market is in sync with the previous eight bull runs.
Bank of America also said in the report that in the global semiconductor ecosystem, more than half of the EBIT (basic income) is invested in R&D. It is estimated that R&D investment will reach 541 billion US dollars this year. The R&D growth rate has exceeded the rate of profit development, showing the industry's deep optimism about the future.
As a result, Bank of America said it is selectively bullish on technology stocks. The best-performing stock data over the past 30 years shows that investors who have held “the right technology stocks” for a long time have received amazing returns.
Among them, Nvidia topped the list, and Amazon and Apple ranked in the top seven of the “Big Seven.”
