Compare the tech companies’ P/E ratios to the traditional companies’ P/E ratios. Note that some of the tech companies have very high P/E ratios. (A low P/E is good; a high P/E is bad.) Some don’t...

Compare the tech companies’ P/E ratios to the traditional

companies’ P/E ratios. Note that some of the tech companies have very high P/E ratios. (A low P/E is good; a high

P/E is bad.) Some don’t even have a P/E ratio because they

didn’t turn a profit. As a group, list the reasons why the

tech companies have such high P/E ratios. Are the prices of

these companies’ stocks justified given the earnings? Why?