Tech Stock Valuation

underperformance are observed. Conversely, after periods where the U.S. equities

market has significantly underperformed long-term market norms, periods of sig-

nificant outperformance are observed. Importantly, the degree by which above-

normal market performance reverts to below-market performance during

subsequent periods cannot be explained by conventional statistical theories

describing the well-known process of regression to the mean. Similarly, the extent

to which below-normal market performance reverses to above-market perform-

ance during subsequent periods cannot be explained as a simple manifestation of

the regression to the mean phenomenon. ...