Tech unplugs Nasdaq surge

Tech stocks tumbled from nosebleed heights on Friday after a report from Goldman Sachs warned investors that they could be leaning too heavily on Facebook, Apple, Amazon and other hot companies.

The tech darlings, which also includes Microsoft and Google-parent Alphabet — which Goldman calls FAAMG — accounted for 55 percent of Nasdaq’s marketcap increase this year, the Wall Street bank said.

While the Dow Jones industrial average gained 89 points and the S&P 500 slipped 2 points, the techheavy Nasdaq fell 1.8 percent, to 6,207.92, in the wake of the Goldman report.

Facebook fell 3.3 percent, Amazon was off 3.2 percent, Apple dropped 3.9 percent, Microsoft slipped 2.3 percent, and Alphabet was down 3.4 percent.

The investment bank cautioned that the market’s overreliance on FAAMG for growth and appreciation “has created positioning extremes, factor crowding and difficultto-decipher risk narratives.”

While Goldman’s report associated “a valuation bubble” with FAAMG, it stopped short of predicting a “tech bubble” as destructive as the 2000 bust in internet stocks.

Indeed, in terms of valuations, cash balances and free cash flow, FAAMG is in better shape than the five largest tech stocks leading into the bubble, the investment bank said.

FAAMG lags the Bubble 5 only in profitability — a concern Goldman attributed to earnings reductions caused by today’s accelerated depreciation practices.