tl;dr
Hedge funds are unwinding tech stock long positions after piling into the big names at a level not seen in two decades. Net selling in tech, media, and telecom stocks last week was the most since July "and executed long supply (on a notional basis) was the largest in nearly 8 months," Goldman Sachs ...
Hedge funds are unwinding tech stock long positions after piling into the big names at a level not seen in two decades. Net selling in tech, media, and telecom stocks last week was the most since July "and executed long supply (on a notional basis) was the largest in nearly 8 months," Goldman Sachs said in a note. "Info Tech (NYSEARCA:XLK) and Communication Services (NYSEARCA:XLC) were the most net sold sectorson our US Primebook last week, driven almost entirely by long sales," Goldman said. Sales of software stocks, chips, and chip equipment and interactive media and services "were by far the most net sold subsectors, which outweighed buying in IT services and media." The selling follows a binge in the previous week, which saw crowding into tech stocks and particularly the Magnificent 7 - Apple (AAPL), Alphabet (GOOG) (GOOGL), Amazon (AMZN), Meta (META), Microsoft (MSFT), Nvidia (NVDA), and Tesla (TSLA) - which was the most intense Goldman had seen in 22 years, according to Reuters.
More about Apple Inc
Apple Inc. is a technology company that specializes in consumer electronics, computer software, and online services. With a revenue of $274.5 billion in 2020, it is the world's largest technology company and the world's most valuable company as of January 2021. It is also the world's fourth-largest PC vendor by unit sales and the fourth-largest smartphone manufacturer. The stock performance shows a positive trend with a current price of $180.82 and a 0.135% increase. Market sentiment is slightly bearish with a Relative Strength Index (RSI) of 30.94, indicating potential oversold conditions. However, the stock is currently trading above the 200-day moving average, suggesting a bullish trend. The support level is at $174.34, and the resistance level is at $187.16, indicating potential price movement within this range. Overall, while there are some bearish signals, the stock's strong fundamentals and market position suggest potential for long-term growth, but with some uncertainties to consider.
More about Alphabet Inc Class C
Alphabet Inc. Class C is a multinational conglomerate in the technology and computer programming industry. With a market capitalization of 1.71 trillion, it is one of the world's most valuable companies. The stock has a price-to-earnings ratio of 26.45 and a forward dividend yield of 0.225%. The company has a strong revenue of 297.13 billion and a healthy profit margin of 133.42. The stock has shown a bullish trend with a 5-year performance of 5.22% and a 1-year performance of 23.34%. However, it is important to note that past performance is not always indicative of future results. Market sentiment towards Alphabet Inc. Class C is positive, but potential risks and uncertainties should be carefully considered before making any investment decisions.
More about Alphabet Inc Class A
Alphabet Inc. Class A is a multinational conglomerate and the parent company of Google and former Google subsidiaries. It is the world's fourth-largest technology company by revenue and one of the most valuable companies globally. The stock performance shows a market capitalization of $1.72 trillion, a price-to-earnings ratio of 26.13, and a dividend yield of 0.46%. The technical indicators like RSI and Bollinger Bands suggest a bullish trend, with the stock price currently at $151.71. However, potential risks and uncertainties should be considered, as past market behavior is not always a reliable indicator of future performance.
More about Amazon.com Inc
Amazon.com Inc is a leading multinational technology company with a focus on e-commerce, cloud computing, digital streaming, and artificial intelligence. As one of the Big Five companies in the U.S. information technology industry, it holds a significant position in the market. With a market capitalization of 1.526641852 billion, the company's stock has shown a 1.91% increase, currently trading at 157.93. The stock's Relative Strength Index (RSI) of 53.95 indicates a moderate level of market sentiment. While the company's innovative approach and strong brand value make it a key player in the industry, potential risks and uncertainties should be considered, as past market behavior is not always a reliable indicator of future performance.
More about Meta Platforms Inc.
Meta Platforms Inc. (formerly known as Facebook) is a technology company that develops products enabling people to connect and share through various devices. The stock has a market cap of $860.13 billion, with a current price of $340.08. The stock has a 52-week range of $229.49 to $384.33, with a current P/E ratio of 29.49. The company's revenue is $126.96 billion, with a profit margin of 11.35% and a return on equity of 48.97%. The stock has been showing bullish trends, with a Relative Strength Index (RSI) of 1.679, indicating strong buying momentum. However, it is important to note that past performance is not always indicative of future results and there are potential risks and uncertainties in the market that could affect the stock's performance.
More about Microsoft Corporation
Microsoft Corporation is a leading American multinational technology company in the services-prepackaged software industry with a market capitalization of $2.81 trillion. The stock is currently trading at $36.62 with a 2.79% increase in the last trading session. The Relative Strength Index (RSI) is at 29.35, indicating that the stock is oversold. The company's revenue is $218.31 billion with a net income of $368.3 billion, showing a solid financial performance. Microsoft's market sentiment is bullish, with strong support at the current price level. However, there is a potential risk of market volatility and uncertainty in the technology sector that could impact future performance.
More about NVIDIA Corporation
NVIDIA Corporation is a leading technology company in the semiconductors and related devices industry with a market capitalization of 1.19 trillion. The stock is currently trading at $585.57 per share, with a 52-week range of $448.70 to $685.57. The company has a P/E ratio of 63.73 and a forward P/E ratio of 12.74, indicating potential growth. The stock has shown a 7.57% increase in the last month, and has a Relative Strength Index (RSI) of 18.18, suggesting potential overbought conditions. The company's financials indicate a strong position with a quarterly revenue growth of 16.55% and a return on equity of 2.055. Overall, market sentiment towards NVIDIA Corporation is bullish, with potential for continued growth, but investors should be cautious of overbought conditions and potential market volatility.
More about Tesla Inc
Key Financial Metrics:
- Sales in plug-in and battery electric car segments: 16% and 23% market share, respectively
- 3 GWh of battery storage supplied in 2020
- Market value: $750.48 billion
- Current stock price: $205.38
- Relative Strength Index (RSI): 30.28 (indicating oversold conditions)
Stock Performance:
- Tesla Inc. is a major player in the electric vehicle market, with strong sales in both plug-in and battery electric segments
- The company's subsidiary, Tesla Energy, is a leading supplier of battery energy storage systems
- The stock is currently trading at oversold levels, as indicated by the Relative Strength Index (RSI)
Market Sentiment:
- Despite strong sales and market share, the stock is currently oversold, indicating potential undervaluation
- Given the oversold conditions, there may be a potential for a bullish trend reversal in the near future
- However, past market behavior is not always a reliable indicator of future performance, and there are potential risks associated with an oversold stock
Disclaimer:
This is not financial advice. Please do your own research before investing in any asset.