Animal spirits are powering the market, Annandale Capital founder and chairman George Seay tells Seana Smith and Brad Smith on Morning Brief. Seay outlines his strategy as “overvalued” tech plays are driving the market fueled by “animal spirits.”
“Tech has been in the driver’s seat for years and years and years. Not just a couple of days. It’s really the driving force of the market, and whether it continues into 2025 and beyond really depends on the animal spirits and the speculative nature of the market, so to speak,” Seay says, adding, “They’re all overvalued. They’ve all come way too far.”
As some investors look for value opportunities, Seay cautions, “If you look at small caps, if you look at international stocks, if you look at value stocks of financials, they’re all inexpensive, but they’re inexpensive for a reason. There’s no growth there. So it’s really hard to find a place that’s obvious right now.”
He says natural gas stocks are his top pick. “I think they’re really, really out of favor. They’re very low priced. And I think that there’s a ton of demand for that commodity. And I think as long as producers show some discipline and don’t overproduce that … there’s a lot of upside for those stocks.”
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This post was written by Naomi Buchanan.
