Welcome to Seeking Alpha's Wall Street Lunch, our afternoon update on today's market action news and analysis.

Good afternoon. Today is Monday, April 22nd I'm your host Kim Khan. Our top story so far.

UBS sounded a warning on its list of big six tech companies.

Strategists led by Jonathan Golub, downgraded Apple, Amazon, Alphabet, Meta platforms,

Microsoft and NVIDIA.

It cut all the stocks to neutral from overweight, citing earnings momentum reversal.

From its January 2023 lows to its April 2024 peak, Big Six Tech Plus stocks advanced 117%.

They have since declined 8%.

UBS's Tech Plus Stock Universe includes all the technology sector,

Internet retail within discretionary,

interactive media and services, interactive home Entertainment, and Netflix for Movies and Entertainment

within Communication Services.

Golub said, investors attribute the run and mega cap stocks to animal spirits and the impact

of AI. However, our work indicates that

surging earnings momentum, change in forward growth projections, fueled this upside.

This momentum is collapsing with big six EPS growth expected to decline from 42% to

16% over the next year while the rest of the Tech Plus and non-Tech Plus stocks

accelerate. Seeking Alpha analyst Ahanvashi writes that it's fair to say that the technical setup for big tech stocks heading into their Q1 reports is bearish.

While I expect Q1 earnings to be okay overall, the recent correction in the frothy Magnificent Seven basket

could deepen further in the upcoming weeks if the earnings and our forward guidance

falls short of lofty expectations. Conversely, blowout earnings from Big Tech Giants could restore investor confidence

and lead to a short-term bounce in equities. In today's trading, stocks have given up an early

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