Daniel Chung, CEO, Fred Alger Management is bullish on tech stocks like Microsoft Corporation (NASDAQ:MSFT), Google Inc (NASDAQ:GOOGL), and Facebook Inc (NASDAQ:FB). He discussed the reasons why he feels investing in technology stocks is the best option for investors looking to boost their bottom line on today’s edition of FBN’s ‘Opening Bell’.
“We see some interesting things from Microsoft Corporation (NASDAQ:MSFT), which we haven’t seen in a long time […] Part of the Alger’s investment philosophy is investing in dynamic change. One kind of change that we like is what we call the lifecycle change. So, a new CEO taking some aggressive action to reposition their company for, you know higher growths in the future is exactly what we like to see and for Microsoft Corporation (NASDAQ:MSFT) it’s been long overdue,” Chung said.
Chung believes that the major tech stocks are a better bet than semiconductor or networking companies, which have been facing some troubles off late. He also feels that the PC market, is seeing some kind of revival, which is being reflected in the results of companies like Intel Corporation (NASDAQ:INTC). Chung is upbeat on Facebook Inc (NASDAQ:FB), owing to the company’s fabulous second quarter results.
“Well, I mean we think their latest quarter earnings are justifiable, we have long believed in Facebook Inc (NASDAQ:FB). Which is they are the leading mobile advertising play right now. They have just done a terrific job online and mobile and user engagement on that site, it still one the most beloved site, so we, we really like what we see. They are doing a great job managing, it’s a very smart, very smart management team there,” Chung added.
On Google Inc (NASDAQ:GOOGL), Mr.Chung is of the view that the company is not going to go towards content. According to him, Google Inc (NASDAQ:GOOGL) loves being the ‘toll taker in the middle’ and content is a creation game that is played with lots of risk, which the company won’t enter. He also believes that Google Inc (NASDAQ:GOOGL) is more interested in improving its search technology, enabling people to find what they are looking for even before they know that they are actually looking for something.