It’s Hard to Find a Good Tech Stock These Days. These 12 Have Held Up Best.

- Advertisement -


Activision Blizzard is one of the tech stocks down 15% from its latest peak.

- Advertisement -

Rich Polk/Getty Images for Activision

- Advertisement -

It’s been a brutal year for stocks in general, but tech stocks have been particularly hard hit since the Nasdaq Composite peaked last November.

The S&P 500 index closed down 15.5% on Thursday from where it was trading 12 months ago and down nearly 22% from its record high set on January 3. The Nasdaq Composite is down 26% from a year ago and 31% from its record. Close set on November 19, 2021.

- Advertisement -

It has been even worse for IT and communications services stocks in the S&P 500. The S&P 500 communications services sector was down 39% from its recent 52-week high, while the S&P 500 information technology sector was down 29% from its latest peak. ,

The last of those firms to hit a 52-week high was Enphase Energy.

(ENPH) on Sept. 8, before T-Mobile US

(TMUS) on 26 August. However, no stock has been immune to the latest sell-off.

baron’s Screened for companies in two tech-focused sectors of the S&P 500 to find out which stocks performed best amid selloffs and why. We narrowed the list down to firms in sectors that are 15% or less from their 52-week highs. We operated the screen after Wednesday’s close, so the results don’t reflect Thursday’s and Friday’s steep declines, which pushed the S&P 500 down 2.5%.

Enphase Energy‘s
The relative success — that’s just 6.2% below this year’s high — is understandable given the company’s focus on technology for the solar market. Stocks have benefited since the Inflation Reduction Act, which includes solar incentives, became law in August. The stock peaked on Sept. 8, just days after it announced a global partnership with Munich-based renewable-energy company Beva.,

In a turbulent market, it helps to have a deal on the table. Citrix Systems

(CTXS) is down just 7.3% from its 52-week peak and is trading near $104 per share. Elliott Management’s private-equity arm and Vista Equity Partners have agreed to pay out. Citrix said this summer the deal is expected to close in the third quarter of 2022. Similarly, Activision Blizzard

(ATVI) is ranked ninth on screen, down 13% from its one-year high. Videogame company acquired by Microsoft

(MSF) is facing regulatory scrutiny for $95 per share, though baron’s Traders’ concerns — as reflected by the stock’s discount to the deal price — are exaggerated.

T-Mobile US is in third place, trading down just 7.6% from its one-year high. company has recently baron’s Stock picks as its lead over Verizon Communications

(VZ) in the 5G era and its plans to return capital to shareholders through significant stock buybacks. Fellow telecom firm Motorola Solutions

(MSI) is at the eighth spot on screen, down 13% from its one-year high.

fiserv

(FISV), which has been the target of active investor ValueAct Capital. It is down 11% from recent highs.

The fifth in the screen is on Stock Semiconductor

(ON), which joined the S&P 500 only in June. The stock is down about 11% from its one-year high. It’s also a standout among semiconductor stocks: iShares Semiconductor Exchange-Traded Fund

(SOXX) was recently down 39% from its 52-week high.

Payment Processing Firm Jack Henry & Associates

In sixth place, it is down 11.5% from its 52-week high of $212.62. Next is the HR software firm Automatic Data Processing

(ADP).

Broadridge Financial Solutions

(BR) has remained steady, ranked 10th on screen and declined 13.7% from a one-year high. Its strong recurring-revenue businesses have helped it remain stable.

international business system

(IBM) is ranked 11th, down 14% from its recent high. Big Blue stock declined in July, as its softer outlook saw better-than-expected results. Cadence Design Systems

(CDNS), which designs and develops integrated circuits, ended the list with a decline of 14.8% from its highest level.

These stocks aren’t exactly winners this year, but some are in the market as such. In case you’re wondering, Apple

(AAPL), which has outperformed its Big Tech peers, missed the 15% limit for our screen. As of Wednesday’s close, the iPhone-maker was down 16% from its 52-week high of $182.94.

Write to Connor Smith at [email protected]

Credit: www.marketwatch.com /

- Advertisement -

Recent Articles

Related Stories