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  • So we've covered really, one of the biggest stories in the market,

  • but we can't really have a discussion about stocks without talking about tech.

  • It's really been sort of, the lightning rod sector of the last several months, if not since the election.

  • I wanted to see what your thoughts were on that.

  • We're seeing a lot of price swings.

  • The NASDAQ moving 1 or 2 percent on a day, when the S&P has barely changed.

  • It seems like it's sort of a flashpoint for sentiment right now.

  • Where do you come out on that?

  • Do you believe in, maybe some of the skepticism we're seeing?

  • Or is it a sector that you favor?

  • Yes. Yes. Yes. In other words, I think it's overvalued.

  • But real growth stocks are almost always overvalued.

  • The trick is, when a growth stock that's truly a growth stock goes down solely because evaluation.

  • When the fundamentals don't get tripped up, that's almost always a buying opportunity.

  • No one else is really going to call those things exactly.

  • But when they happen as they have, usually it's like falling down an up escalator.

  • You may be tumbling down, but the escalator is pulling you higher,

  • the earnings are pulling you higher as the price gets lower.

  • Well, take 10 or 15 percent off the stock price, raise earnings 10 or 15 percent.

  • Suddenly, you corrected a lot of the excesses we were worried about.

So we've covered really, one of the biggest stories in the market,

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B1 US overvalued escalator stock growth price percent

Wells Fargo equity chief: Tech stocks are ‘overvalued,’ but you should still buy them

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    Colleen Jao posted on 2017/07/18
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