Tech Stocks Get Whacked in Market Downturn — Yahoo and LinkedIn Twice as Hard
Today’s stock market rout hit tech stocks hard, with most declining as much as the broader indices.
With the Dow Jones Industrial Average down 4.3 percent and Nasdaq off 5.1 percent, shares of Google, Microsoft, AOL and Apple managed to stay in that range of losses.
LinkedIn, the business networking site which reported its second-quarter earnings today, saw its shares seesaw down and up and down and then up again today.
While its results were in line with Wall Street expectations, the company also created some worry after it said profit margins are going to be cut in half for the next quarter.
Still, after its huge fall earlier today, in after-hours trading, LinkedIn has recovered a bit and is now up five percent.
But Yahoo has continued its increasingly troubling stock drop after the markets closed. Its shares are now dipping below $12, which gives the Silicon Valley Internet giant a very low $15.6 billion valuation.
The company’s stock has dropped 34 percent in the past three months, as worries over a range of issues — from its Asian assets to its display advertising business to its talent drain — continue to be a drag.