[wormlord]

I agree with this sentiment overall, but we have to remember that for valuations, profit and growth is really all that matters. Even if an industry is irreplacable.

I think I read this from Warren Buffett, but basically as of the early 2000s the airlines, in their entire history, had only managed to break even. If you had bought an airline company in 1940 and held it until 2000, you would have never profited from it. The business itself would be worth significantly more, but your only exit strategy would be to sell.

I haven't looked at any of these company's balance sheets, but it might be that semiconductor fabbing is less profitable and has less room for growth. In the short term that's all that matters. The question is if Nvidia can hold on to its current growth and margins (I don't think it can).