Jason Calacanis CNBC Closing Bell 3/27/18: tech stocks tank; Facebook Tesla NVIDIA drops, rebound?

TL;DR

Market reevaluating the dominance of tech stocks like Facebook and potential challenges with regulatory issues and workforce attraction.

Transcript

Jason you know the the sort of keep it simple bowl case for Fang and Fang type stocks for so long was they were so dominant they were almost these inevitable monopolies in their segments they the network effects just worked so well for them and I just wonder right now if the market is just rethinking whether that dominance is now going to make them... Read More

Key Insights

• 🧑‍💻 The market is rethinking the dominance of tech stocks like Facebook as their value is being questioned.
• 🫠 Challenges for Facebook include workforce attraction issues and upcoming regulations impacting their ad networks and M&A transactions.
• 😀 Tesla's Model 3, although facing delays, is praised for its quality, but Nvidia may face challenges with declining cryptocurrency value and lack of interest in VR.
• 🛀 Energy sector shows promise due to increasing global demand and an imbalance between supply and demand.
• 👏 Facebook's management is praised despite controversies surrounding the company.
• ✋ Regulation may actually make Facebook stronger by creating high barriers to entry for potential competitors.
• 🍉 Short-term, Facebook may face a decline, but in the long-term, it may bounce back stronger.

Questions & Answers

Q: Why is the market rethinking the dominance of tech stocks like Facebook?

The market is reevaluating the dominance of tech stocks like Facebook due to concerns over workforce attraction, regulatory challenges, and limitations on M&A transactions.

Q: What are the potential challenges for Facebook's future?

Facebook may face challenges in attracting talent, dealing with upcoming regulations impacting their ad networks, and limitations on M&A transactions that have been previously easy for the company.

Q: Is Tesla's Model 3 successful despite delays?

Even though Tesla's Model 3 has faced delays, it is still highly regarded as an extraordinary product. However, the delays may have an impact on the company's overall performance.

Q: Why may Nvidia struggle in the coming months?

Nvidia may face challenges due to the decline in cryptocurrency value, which was a significant part of their story. Additionally, lack of interest in VR may also impact the company's success.

Summary & Key Takeaways

• The dominance of certain tech stocks, like Facebook, is being questioned as the market reevaluates their value due to potential regulatory issues and a declining interest in working for the company.

• Facebook's future may be impacted by workforce attraction problems, upcoming regulations affecting their ad networks, and limitations on M&A transactions.

• Tesla's Model 3 is highly regarded, but the company has faced delays, while Nvidia may struggle due to declining cryptocurrency value and lack of interest in VR.