US tech cos to rally on results: Goldman

US technology stocks may be about to turn a corner after the Nasdaq 100's biggest monthly decline this year, according to strategists at Goldman Sachs Group Inc.

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They say the selloff has led to historically cheap valuations for the tech stocks at a time when earnings estimates are still rising. In particular, they point to a valuation metric known the PEG ratio, which calculates price relative to earnings and long-term growth.

Goldman's analysis shows that the largest seven tech stocks have a PEG ratio of 1.3, compared with 1.9 for the median S&P 500 stock. That's the largest discount since January 2017 and a level that has been reached only five times in the last decade, they said.