Legato Financial Chief Investment Officer (CIO) Ryan Kelly argues that the current market expansion is driven by solid fundamentals, highlighting that companies such as Micron Technology Inc. (NASDAQ:MU) still offer significant value.
Grounded In Earnings, Not Hype
In conversation with Schwab Network, Kelly emphasized that the market’s momentum—which has pushed the S&P 500 to consecutive weeks of gains—is justified by real corporate profits. When asked about comparisons to past manias, he firmly stated that this is "not the Dot-Com bubble."
"I think the big difference is the earnings and the fact that all of these companies are being so successful and posting their earnings improvements," Kelly explained.
He noted that the initial phase of the AI trade, which focused heavily on infrastructure and data centers, is now transitioning toward actual monetization and positive cash flows.
