JPMorgan’s Pinto Warns of Possible ‘Correction’ in AI Valuations

 

25m ago

11.50 GMT

https://www.theguardian.com/business/live/2025/nov/18/stock-market-sell-off-ai-bubble-google-nvidia-ftse-100-bitcoin-business-live-news?filterKeyEvents=false&page=with%3Ablock-691c5ca98f08d34a5ebe3bf2#block-691c5ca98f08d34a5ebe3bf2

 

JPMorgan’s Pinto Warns of Possible ‘Correction’ in AI Valuations

 

Valuations in the booming AI industry are due for a reassessment, according to JPMorgan Chase & Co. Vice Chairman Daniel Pinto.

 

Speaking at the Bloomberg Africa Business Summit in Johannesburg today, Pinto also warned that any decline would reverberate across the stock market.

 

Pinto warned:

 

“There is probably a correction there.

 

That correction will also create a correction in the rest of the segment, the S&P and in the industry.”

 

Concern has been growing in recent weeks that the valuations of the world’s largest technology companies could have risen too high, based on an overly optimistic view of how quickly AI would delivery productivity benefits.

 

As Pinto explains:

 

“In order to justify these valuations, you are considering a level of productivity that, it will happen, but it may not happen as fast as the market is pricing now.”