Most investors realize that the handful of media darling stocks are highly overpriced and not likely to generate much more of a run. The question then becomes one of where to put some of your money to counter balance the possibility of these stocks flat lining.
The difficulty in this is that the vast majority of advice and attention is now being lavished on these handful of stocks and everything else is getting little or no coverage. How then can one know if there is a good alternative to invest in?
One way is through something like small cap mutual funds. These are certainly counter-cyclical investments trading at much more reasonable P/E ratios. Since little guidance is available at a retail level, it may be best to simply let the pros pick the winners for you via a strategically targeted fund.