Something unusual is happening in tech. Valuations have fallen so far in 2026 that traditional value investors, the bargain hunters who normally wouldn’t touch high-growth stocks, are starting to pay attention.

TSLA stock is moving. See the chart and price action here. 

That’s according to Canadian asset manager Middlefield Group, which noted in recent market commentary that tech stock valuations “have compressed to levels that are no longer just attractive to growth buyers." 

"They are now actively drawing the attention of traditional value investors who recognize the severe disconnect between current multiples and future cash flow generation potential,” the firm said.

The numbers illustrate why. The Nasdaq Composite is down more than 4% year-to-date. And the iShares Expanded Tech-Software Sector ETF (BATS:IGV) has cratered roughly 30% from its September 2025 peak.

Among the mega-caps, ...