Alphabet Inc (GOOG)

He loves this one. He has it valued at $654, and is trading at a 30% overvaluation. If it ever gets back to $806.38, it would be a wonderful buy.

You need 20 years on a stock before you can assess it on a seasonal basis. Technicals are very, very positive. However, like most of the FANG stocks, has reached a trading range. Historically, many technology oriented stocks have a history of peaking around the 3^rd week of July. If you own, you probably want to take some money off the table with the idea of getting back in around the 3^rd week of October.

Revenue is about $100 billion a year. They have very little expenses. There is another $200 billion of TV advertising that will be moving into Internet advertising, and he believes this company will get at least half of that. (Analysts’ price target is $1,050.00. )

Everybody’s favourite FANG stock, and it has done well. A great company and growing. Recently reported with a beat, and yet investors still made it pull back. It hit resistance at around $1000, and may be in a consolidation period. Based on a technical perspective, he would not be investing in this right now. Wait for it to go through $1000 on strength.

A good long term hold. It is a spectacular business. They are at the forefront in terms of using artificial intelligence and big data analytics. They keep re-inventing themselves. He wishes they would pay a dividend.

(A Top Pick July 12/16. Up 31.18%.) This is her play on the Internet and digital advertising. When it got close to $1000, she took some money off the table. To buy more, she would like to see it pull back to around $900. A great company in terms of revenue growth. They grew their top line over 20% over the last 29 consecutive quarters. Regarding online advertising, she thinks it still has some growth in terms of overall corporate advertising budget, and this company will garner a large share of that.

(A Top Pick May 19/16. Up 31.1%.) He still likes this but it has been part of the small pull back in the Tech sector. If this starts to fall down to the $900 level, that would be a good entry point.

(Market Call Minute.) A fantastic franchise. They continue to grow revenue using cash flow into the 20% range. They are monetizing areas that they weren’t years ago.

Technology is probably the most important secular long-term theme in the market. This company plays right in the middle of a couple of the key themes, but the most important is Cloud and Search. He sees signs in the near term that some of the more cyclical sectors, like financials and industrials, may be seeing some rotation into those names with a little money coming out of technology. (See Top Picks.)

Everything is going their way. They have huge margins, new business and lots of potential. His target price is $1150-$1200 over the next 12-18 months.

It is an interesting entry point with the selloff in tech. There are a lot of secular tail winds. A great stock to own long term.

Market share in advertising is at about 25%, and he doesn’t believe anybody has had higher than that. Doesn’t know if they can hold onto this, but it is going to be very difficult for them to increase it. He would prefer companies that have lower market share, but more runway, something like Facebook (FB-Q). Facebook also has some non-core businesses, things that have yet to generate a profit.

He is quite constructive on this. It is part of the oligopoly on the Cloud space. They have a couple of things going for them along with a headwind that they are fixing. Core ad spending is up almost 20% and they continue to pull in more ad spending. Spending was getting out of control, but are working on that. Valuation is not out of line for the growth you are getting.

Doesn’t think there is a day that goes by when you don’t use Google. They totally dominate Search and is the world leader by far. They are also investing in all these other wacky and interesting things. Totally unappreciated, relatively speaking, but it is a company that is almost a “must own”. There is a lot they can do in terms of monetization with the video and stuff, that they are not yet doing.

AAPL-Q vs. GOOGL-Q vs. AMZN-Q. He likes these two as well as AMZN-Q. You could make a case for all three. He owns all three. These guys are changing the world. AAPL has not had an announcement for a while, but will have announcements in the next year. They could pull back a bit, but he would own all three.