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Speculation In This Sector Will End "Very Badly," Canada's Warren Buffett Says

Whether it’s subprime auto lending, Janet Yellen’s “stretched” biotech sector, or corporate credit, bubbles abound in today’s fragile market and like Mark CubanPrem Watsa thinks the valuations investors are placing on private tech companies are simply ludicrous. But the insanity isn’t confined to private companies, Canada’s Warren Buffett says. “Speculation” is rampant in publicly traded shares as well. 

From Fairfax Financial’s shareholder letter:  

I am always amazed at the speculation that can take place in the stock market, as shown in the table below, and how long it can last:

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