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. As I mentioned before, this is why it’s possible for Xoloitzcuintli Dog Graphic with Vintage USA Flag T Shirt to beat Q3 2021 guidance and still have their stocks go down the toilet. It’s no surprise that the companies which are more speculative (with no revenues and cash flow to back up their valuations) get destroyed first, and then the mid-caps, and then the more solid companies with the revenues and cash flow to back up their valuations (e.g. Tesla, Google, and Facebook)? In fact, the large and mega-cap companies (or “liquid leaders”) are typically where large hedge funds and financial institutions “hide and take shelter” when they notice that something is wrong and a bubble is inflating. And so, they slowly start to move from more speculative names to the “safer” and large-cap names.
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