Google, the first of the “Magnificent 7” stocks to report Q1 earnings, popped just before the close on Thursday and into Friday.
But as CNBC cheered the modest upside, the rally may not last. Hedgeye CEO Keith McCullough warns in this clip from The Call @ Hedgeye not to chase green—and even suggests shorting Big Tech.
“I’d just as soon short all of them. There’s no reason to buy any ‘Bag 7’ stock today,” McCullough says. “You’re not going to miss things. If you have FOMO [fear of missing out], it’s because it’s between your two ears. Let them deal with that. Sell Google, Sell Meta, Sell Snapchat. And if you’ve been doing that for two to three months, you’ve been crushing it.”
Communications analyst Andrew Freedman discussed the report and agreed with Keith: Google’s earnings could mark the high-water mark for the rest of Big Tech. He flagged META and SNAP in particular.
“The stock reaction makes sense in the context of the earnings print, but you probably fade it because the next card you’re going to be dealt is not going to be a great card,” he says. “META and SNAP earnings are going to be really critical. So by next week, we could be talking about something completely different.”
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