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Investors have started selling off the most expensive stocks during the year to lock in profits in the final days of 2020, Bloomberg reported.
Among such stocks, the agency calls the securities of video conferencing service Zoom and digital signature management software developer DocuSign. Earlier this year they rose sharply on the back of an increase in new users due to the pandemic. But at the close of trading on Monday, Zoom on Nasdaq was down 6.34% and DocuSign shares were down 6.42%.
Shares in digital advertising company Trade Desk (down 11%), data analytics software developer Palantir (down 7.6%), food delivery service DoorDash (down 6.7%) and exercise bike manufacturer Peloton Interactive (down 6.5%) also fell sharply on Monday.
But the sell-off did not affect all of the companies that were beneficiaries of the pandemic, Bloomberg notes. In particular, investors continue to buy shares in large-cap tech companies. Apple shares were up 3.6 per cent by Monday's close and more than 85 per cent since the start of the year. Facebook shares were up 3.6% on Monday, Amazon was up 3.5% and Alphabet was up 2.3%. Microsoft and Netflix gained 1%.
Alphabet showed the weakest growth in shares among technology companies this year, writes Bloomberg. Its shares rose by 32%. But even this growth is almost twice as high as the S&P 500 Index, which rose by 15.6%.
source: bloomberg.com
Among such stocks, the agency calls the securities of video conferencing service Zoom and digital signature management software developer DocuSign. Earlier this year they rose sharply on the back of an increase in new users due to the pandemic. But at the close of trading on Monday, Zoom on Nasdaq was down 6.34% and DocuSign shares were down 6.42%.
Shares in digital advertising company Trade Desk (down 11%), data analytics software developer Palantir (down 7.6%), food delivery service DoorDash (down 6.7%) and exercise bike manufacturer Peloton Interactive (down 6.5%) also fell sharply on Monday.
But the sell-off did not affect all of the companies that were beneficiaries of the pandemic, Bloomberg notes. In particular, investors continue to buy shares in large-cap tech companies. Apple shares were up 3.6 per cent by Monday's close and more than 85 per cent since the start of the year. Facebook shares were up 3.6% on Monday, Amazon was up 3.5% and Alphabet was up 2.3%. Microsoft and Netflix gained 1%.
Alphabet showed the weakest growth in shares among technology companies this year, writes Bloomberg. Its shares rose by 32%. But even this growth is almost twice as high as the S&P 500 Index, which rose by 15.6%.
source: bloomberg.com
