Hermes' Lode: Five tech stocks to avoid the hubris premium

Geir Lode, head of global equities at Hermes and manager of the Hermes Global Equity fund, has identified five technology stocks that may not necessarily be 'empire-building' but still offer sustainable returns for shareholders.

There has been a real divergence in the tech sector between the consumer-facing innovators and the hard component stocks. While tech stars such as Amazon and Facebook steal the headlines, we are finding value in unloved semi-conductors and hard component companies. The key lessons from Silicon Valley's tech companies Innovative tech firms are shaping the world, but what we look at is the shape of future shareholder returns. It is our job to consider whether company management carries a hubris premium. We must ask whether company management is empire-building or constructing a ...