Roger McNamee: 'The Fundamentals In The Tech Sector Are Actually Pretty Reasonable'

Several stocks in the tech sector, including LinkedIn Corp LNKD, Yelp Inc YELP and Twitter Inc TWTR, are down for the year, and the NASDAQ has been shedding its gains continuously over the last 15 days.

Roger McNamee, Reverb executive chairman and Elevation Partners co-founder, was on CNBC Tuesday to discuss if the tech sector could go lower from here.

Due For A Correction

"Well, I think we are just regressing to the mean," McNamee said. "We have had an unbelievably strong market, as you know, going back to the recovery from 2008. And we have been due for some kind of a correction for a long time. Not because there are really separate from the issues of fundamentals, just simply the market, I think, has been very extended."

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Pay Attention To China

He continued, "And there are a lot of issues going on in the global environment. We have Greece. We have China. And I do believe that what's going on in Greece has made investors very significantly nervous. But what's going on in China, I think, is something we need to pay even more attention to, because there the retail stock market has just got crushed."

Purely An Issue Of Market Valuation

"The fundamentals in the tech sector are actually pretty reasonable. They are not great, but they are pretty reasonable across the board, and in some places they are fantastic. I think this is purely an issue of market valuation.

"This was something that was coming. And how far this is going to go, we will have to see, but if it continues on for another 10 points, that shouldn't shock anybody," McNamee said.