Forget the Lesson, Learn it Twice

"Forget the lesson, learn it twice:In addition to my overall concern about risks here, both to stocks and to the economy more generally, I think it's fascinating to watch how investors seem to partition certain stocks as if they are entirely “above the law” and impervious to any risk of overvaluation, “free entry” of competition, earnings dilution, margin erosion, or other factors. Investors took this view with dot-com and tech stocks in the late 1990's, with disastrous results (even for legitimate growth stocks like Cisco, which dropped from a bull market high of 82 to a bear market low of 8 with no intervening splits)."