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As Mr Belkin notes, this list included Nortel, Hewlett-Packard, Micron Technologies and Agilent, "four of the biggest overvalued turkeys in the market"—each of which has dropped sharply.
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IT'S a lede to chill a Spaniard's heart:The Bundesbank has warned that apartment prices in Germany's biggest cities could be overvalued by as much as 20 per cent, stepping up its concern about a real estate boom in the powerhouse of the European economy.
Big companies are especially overvalued because the stewards of other people's money have hundreds of billions of dollars they must invest.
When it comes to investing, there is a big difference between expensive and overvalued.
"All the big P.B.M.'s are a bit overvalued," said Damon Ficklin, a health care analyst at Morningstar.
One real problem is that hype inevitably leads to a sense of disappointment when big breakthroughs don't happen, causing overvalued startups to fail and investment to dry up.
Countries with overvalued currencies usually run big current account deficits.
If you look at those big blue chips, it is historically overvalued.
This makes sense when you consider that according to The Economist's Big Mac Index, the Swedish krona is overvalued by about 36percentt against the U.S. dollar.
"Great stories can be overvalued.
The currency could even overshoot, and become overvalued.Blowing the roof offThe biggest worry of all is that the house-price "bubble" could burst.
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