• Sometimes whole sectors are sold off without much discrimination between the different names. This opens up opportunities for the rational investor.
• For instance, the optical networking sector has sold off, multiple times on news of a slowdown in Chinese demand.
• However, by no means all of these networking stocks have comparable exposure to China; some don’t even have any.
• There are also valuation anomalies at work which are tradable, in our view.

Optical Networking Stocks: Death By A Thousand Cuts | Seeking Alpha