Good day,
Thank you for subscribing to the Earnings360 newsletter, your daily source for quarterly earnings news and updates.
Each morning edition contains a wrap-up of today's pre-market earnings announcements and yesterday's earnings announcements after the closing bell.
Before we send you your first edition, please take a moment to confirm your subscription below. We will not be able to send your newsletter until you confirm your subscription.
Confirm Your Subscription Here
The Earnings360 Team
Just For You Happy Third Birthday to the Bull MarketWritten by Jordan Chussler. Published 10/18/2025. 
Key Points - The bull market just turned three years old, and there are rising concerns about historically high valuations and an emerging AI Bubble.
- The average bull market lasts 2.7 years, meaning this current run could be, by historical standards, entering its latter stages.
- Looking at three high-beta tech stocks can provide clues about the risks of unbridled enthusiasm.
As economists and pundits continue debating whether stocks are in an AI bubble, the current bull market just turned three years old. October 14, 2022, marked the bottom of the last bear market, which lasted around nine months. By its end, the Dow had dropped about 20%, the S&P 500 was roughly 25% lower, and the NASDAQ was down about 36%. Since then, the major indices have gained roughly 60%, 85%, and 118%, respectively. Discover the 10 Best AI Stocks to Buy Now!
The AI revolution is reshaping the investment landscape, and knowing where to place your bets is crucial. Our free report reveals the 10 top AI stocks that should be on your radar right now. Don't miss your chance to get in on these high-potential tech plays. Download your free report today. But how much more can investors expect amid historically high valuations, elevated market concentration, and ballooning AI investments? Examining past bull market cycles and the behavior of three high-volatility tech stocks can help provide perspective. At 3 Years Old, This Bull Market's Long in the Tooth According to Hartford Funds, bull markets last, on average, 2.7 years with an average gain of about 115%. By comparison, bear markets average a loss near 35% and typically last less than a year. There are, of course, anomalies. Before the dot‑com bubble burst, the preceding bull market ran for 12 years. Before COVID‑19 ended the last bull, investors enjoyed roughly a year of gains from March 2009 until March 2020. Going back to 1928, there have been 27 bull markets. In those cycles, the first half outperformed the second half 74% of the time (20 out of 27). So even if this current run isn't yet ready to yield to a bear market, statistically the pace of gains could be slowing. What makes this bull market different from many others is that it's been propelled by an AI frenzy, which has prompted comparisons to the dot‑com era. A Tale of Two Bubbles On Dec. 5, 1996, then‑Fed Chairman Alan Greenspan warned the market was in a state of "irrational exuberance." Yet it took more than three years for that bubble to burst in March 2000. While today's AI‑fueled run shows some parallels — including exuberance — there are important differences. The companies driving the market's biggest gains today — many of which are Magnificent Seven members — aren't the speculative startups that swelled the dot‑com bubble. They are well‑established mega‑cap firms with track records of earnings growth and steady revenue. They are also serial acquirers that fortify competitive moats and fend off up‑and‑coming rivals through mergers and acquisitions. According to Callie Cox, chief market strategist at Ritholtz Wealth Management, that has helped differentiate this bull market from the one that ended with the dot‑com burst. The current rally has "moved higher on the backs of just a few stocks, with the usual suspects — like small caps — lagging for much of the past few years," Cox recently wrote in her newsletter. "There's a graveyard of people who have tried to call for the end of this bull, yet it just keeps pushing forward." But markets are cyclical. What goes up can come down before eventually heading higher again. To better understand what investors are likely to face next, looking at three AI‑leveraged stocks and their inherent risks is useful. Here's what Tesla (NASDAQ: TSLA), NVIDIA (NASDAQ: NVDA), and Palantir (NASDAQ: PLTR) can tell us about late‑cycle bull market investing. Clues From 3 High-Volatility Mega-Cap Stocks As the world's second‑largest EV maker, Tesla doesn't immediately evoke thoughts of AI. But it is embracing the technology for autonomous driving systems and the development of the Optimus humanoid robot. The stock is extremely volatile — when Tesla falls, it often falls hard. From its all‑time high on Dec. 17, 2024, to its year‑to‑date low on April 8, 2025, the shares dropped nearly 54%. From that bottom, they have since regained about 93%. That volatility is reflected in TSLA's beta of 2.09, meaning the stock is more than twice as volatile as the market. In short, Tesla bulls should be cautious, particularly if the broader market starts to slip. From its then‑ATH on Nov. 8, 2024, to its YTD low on April 4, 2025, NVIDIA fell about 36%. Since that low it has climbed roughly 93% and set a new ATH earlier in October. The semiconductor maker — which has arguably been the most prominent stock in the AI narrative — has a beta of 2.12 and is already showing signs of weakness relative to some competitors. At a beta of 2.60, Palantir has the highest volatility of the three. The AI darling of 2025 has experienced peak‑to‑trough declines of roughly 10%, 38% and 11% this year and has been falling out of favor with some institutional investors. Given elevated valuations relative to earnings, those three stocks now have forward P/E ratios of about 189.34, 28.03 and 215.14, respectively, compared with the S&P 500's forward P/E of roughly 28. On its third birthday, this bull market could have room to run — bubbles often take time to expand before bursting. Still, investors with large positions in the market's most volatile names would be wise to consider rebalancing and risk management. Just ask shareholders who owned Yahoo in early 2000.
| 
