Slate Stone Wealth Chief Market Strategist Kenny Porcari joins Sheena Smith and Madison Mills on mega-cap earnings as Tesla (TSLA) plans to begin earning ‘Magnificent Seven’ Share your views on this.
The strategist agrees that the market may be overvalued and investors could benefit from a pullback. “Is the market growing? Yes, it is. Should it pull back? Of course it should. In fact, as a chief market strategist and asset manager, I want to see the market move up. ‘Because I can’t put in the money to do the work,’ Porcari says.
“I don’t want to chase oversized names or oversized sectors. I’m actually waiting for the market to pull back,” he said, adding: “I doubt we’ll see a pullback, but… I welcome that,” he added.
Looking specifically at the Magnificent Seven, Porcari said, “AI will absolutely continue to destroy the Magnificent Seven.” He nods to a report by Dan Ives that “talks about derivatives of AI.” The strategist says artificial intelligence trades will move beyond the Magnificent Seven to other names such as Cisco (CSCO), SAP (SAP), IBM (IBM), and Oracle (ORCL). “Technology is the place to be. I’m not saying we should catch up here, set back, and then jump in.”
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This post was written by Naomi Buchanan.
