During 2000’s tech bubble, the insanity was primarily contained to the info tech and communication services sectors. Dot.com. Digital. However, the notion that investors should pay any price imaginable for a piece of the dot-com pie had become entirely irrational.
Fast forward to the 2020 stock bubble by examining the ratio between the total value of companies (enterprise value) and revenue (sales). One sees that nearly every sector is severely overvalued on a revenue basis. It’s an every-stock-sector balloon.