Aswath Damodaran — searchable YouTube transcripts & AI Q&A

From Eyeballs to ARR: Buzzy Pricing Metrics and the AI Trade!

Aswath Damodaran argues that young companies like Anthropic and OpenAI are typically priced rather than valued, relying on metrics like annualized revenue run rate (ARR) rather than traditional valuation. He explains that pricing involves choosing a multiple, finding a peer group, and controlling for differences, but warns that bias often drives the choice of metrics. He predicts Anthropic's IPO will be priced, not valued, and that investors will use forward-looking metrics to justify high valuations.

Earnings, Cashflows and Stock Prices: The AI Storm blows through!

AI capex is boosting aggregate earnings at US companies because the high margins of suppliers like Nvidia outweigh the amortization costs at the builders, but it is simultaneously draining cash flows available for dividends and buybacks. The speaker argues that if the AI boom is real, builders must eventually earn their cost of capital on the massive invested capital, otherwise market values will be written down. He also outlines four investor strategies, from going all-in on AI to shorting it, and notes his own cautious stance with a higher cash balance.

Interest rates and Stock Prices: An Old Market Debate Replayed!

Aswath Damodaran explains how US Treasury rates moved in 2026, why they're in the news, and the nuanced relationship between interest rates and stock prices.

The Scaling and Profitability Trade-off: Venture Capital's weakest link!

This video explores the trade-off between scaling a business and achieving profitability, examining factors that favor each approach.

AI's Bar Mitzvah Moment? From Hype & Hope to Business Questions!

Aswath Damodaran discusses AI's evolution from hype to business reality, outlining a four-phase framework for understanding revolutionary change.