The market bet that the United States will no longer engage in blockade!Technology stocks fell into blood this week Omicron did not boost home stocks | Anue Juheng-US stocks

The new crown variant virus Omicron shocked the market, and US stocks fell back this week, but what is interesting is that the former darling of the epidemic has not returned to investors’ embrace.

In the past, due to the implementation of lockdown measures due to the epidemic, home-based epidemic prevention stocks went smoothly, but this week they became the worst performing stocks, such as Etsy (ETSY-US)、ByDash (DASH-US)、Zoom (ZM-US) And DocuSign (DOCU-US). This may be different from the public’s imagination, because the WHO said that the Omicron virus has a high probability of causing a global crisis. In the face of the new wave of epidemic that is about to strike, the home-based epidemic prevention stocks have responded completely differently.

The big sell-off of home epidemic prevention stocks indicates that investors may bet that no matter what the epidemic caused by Omicron, the United States has ended its lockdown. In the past, due to blockade measures, the demand for fresh food delivery, streaming TV services, remote work and communications has increased.

The darling of the epidemic, Zoom, fell 16.5% this week, to 177.12 per share on December 3 DollarIt hit a 52-week low, down 69% from the historical high in October 2020.

Etsy, an e-commerce company, fell 20.6% this week; DoorDash, a fresh food delivery service, fell 16%; Roku (YEAR-US) Fell 13%; Shopify fell 10.5%, and Netflix (NFLX-US) Fell 9.5%.

At the same time, Sterling Auty, an analyst at JPMorgan Chase, wrote that the share price of DocuSign, a maker of electronic signature software that jumped three times last year, plunged more than 42% on Friday due to the company’s weak fourth-quarter financial forecast and pointed out that “the epidemic The tailwind of China subsided sooner than expected.”

The entire technology industry is feeling the pain. The Nasdaq Composite Index fell 1.9% on Friday and 2.6% this week, making it the fifth-worst single-week performance this year, due to the disappointing non-agricultural employment report and the worrying Omicron epidemic.

But some blue-chip technology stocks can still resist pressure, Apple (AAPL-US), HP (HPQ-US) And Cisco (CSCO-US) The gains this week are due to investors seeking to hedge when the market is turbulent, shifting from high-risk, high-multiple stocks to dividend-paying “discovery gold companies.”

Fed Chairman Jerome Powell said on Tuesday that the central bank is concerned that escalating inflationary pressures may accelerate the reduction of the balance sheet. After the comment was published, Apple was the only technology stock that rose.

Needham analyst Laura Martin said: “Funds flock to companies that the public believes can weather the storm, will not go bankrupt, and will not fall into financial distress。」

Apple closed lower on Friday, but still rose more than 3% this week, HP surged 8% this week and hit a record high on Friday. Cisco and Broadcom (AVGO-US) This week rose more than 2%.

But for most technology stocks, this week is a sea of ​​blood, Meta (FB-US)、AMD (AMD-US)、Adobe (ADBE-US) And Tesla (TSLA-US) Both fell more than 6% this week. This year’s best performing technology stock cloud software provider Asana (ASAN-US) It plummeted 26.4% on Friday and crashed 36.8% this week. Another Bill.com that has performed well recently (BILL-US) It fell 5.7% on Friday and fell 21% this week.

Salesforce (CRM-US) The weak financial forecast for the fourth quarter was announced on Tuesday, which intensified market concerns about the cloud business. The stock fell 9% this week.

Byron Deeter, a partner at Bessemer Venture Partners, a venture capital firm that invests in cloud software, said: “This is really crazy. You can look at these four factors, Omicron virus, inflation, interest rates, and profit closing.”

But Deeter still supports cloud stocks, using last year as an example. “Remind that working from home is actually very beneficial to cloud stocks. Inflation may be worrying. Because of the linkage between downstream and inflation, the market will definitely shift to value stocks and cash-generating stocks over time.”


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