Tech fundamentals 'as good as I’ve seen,' says veteran investor Paul Meeks, who rolls back his warning

A veteran investor is lifting his call for investors to lighten up on tech stock exposure.

Paul Meeks, who's known for running the world's largest technology fund during the Dotcom boom, said recently the relative fundamentals of the group is now about "as good as I've seen."

"I like these stocks," the Sloy, Dahl & Holst chief investment officer told CNBC's "Trading Nation" last week. "I do feel comfortable with fundamentals coming out of this earnings season."

But his fresh forecast comes with a caveat: Investors need to be disciplined.

"If you own the stocks, just hold them," said Meeks. "Buy them on dips. As we know, these stocks are very volatile. And, you think they'll never have a bad day. But when they have a bad day, it could be significant, and you can get all kinds of opportunities."

His outlook applies to the marquee FANG stocks, which include Facebook, Amazon, Netflix and Google [Alphabet]. Meeks owns all of them in his portfolio — with the exception of Netflix, a stock he wished he bought before it went on a tear.

"Within FANGs, I actually do like Facebook and Google because they've had their corrections — and corrections even beyond 10 percent. So, what I did recently is I try to buy them on bad news," he said.

On March 9, Meeks told "Trading Nation" a correction in tech space could happen at any time. Since his last appearance, the tech-heavy Nasdaq dipped into correction territory, but year-to-date the index is now up 3 percent.

"I would wait until the next controversy. Even though Facebook has posted a great quarter, maybe Google less so, but still pretty robust," Meeks said. "They will have a bad day. They will be down a lot, and you'll have a great opportunity yet again."

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Trading Nation is a multimedia financial news program that shows investors and traders how to use the news of the day to their advantage. This is where experts from across the financial world – including macro strategists, technical analysts, stock-pickers, and traders who specialize in options, currencies, and fixed income – come together to find the best ways to capitalize on recent developments in the market. Trading Nation: Where headlines become opportunities.

Sara Eisen

Sara Eisen joined CNBC in December 2013 as a correspondent, focusing on the global consumer. She is co-anchor of the 10AM ET hour of CNBC's "Squawk on the Street" (M-F, 9AM-11AM ET), broadcast from Post 9 at the New York Stock Exchange.

In March 2018, Eisen was named co-anchor of CNBC's "Power Lunch" (M-F, 1PM-3PM ET), which broadcasts from CNBC Global Headquarters in Englewood Cliffs, N.J.

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