Several tech giants — including Netflix, Facebook and Amazon — couldn’t escape Wall Street’s continued swoon on Wednesday.
Netflix was one of the biggest losers of the day, with shares of the streaming giant falling 9.4 percent, hitting $301 per share. The company has dropped 30 points since announcing Monday it plans to raise $2 billion in debt to fund new content and investments — pushing its debt obligations past $10 billion for the first time.
And to think it was all good just a week ago for Netflix shareholders. The streaming giant, after posting one of its best quarters for subscriber growth in its history last Tuesday, rallied more than 10 percent, pushing past $360 per share. Analyst concerns stoked by its latest debt raise — coupled with a sell-off following its strong earnings — have fostered its steep retreat.
But there were plenty of other Silicon Valley companies feeling the pain on Wednesday. Facebook hit a new low for 2018, dropping more than 5 percent to $146 per share. Amazon shares dipped 6 percent, continuing a monthlong decline. Twitter, one day before it reports Q3 earnings, fell 4.3 percent. Microsoft decreased 5 percent — although it wiped out its losses in after-hours trading, following a strong quarterly report. Alphabet, Google’s parent company, tumbled 5 percent. Apple, the world’s richest company, escaped relatively unscathed with a 3 percent drop. You get the idea.
Big Tech’s losses were conspicuous, even in comparison to the market’s overall decline. Nasdaq, Wall Street’s tech-heavy exchange, suffered a 4.4 percent drop on Wednesday. The Dow fell 2.4 percent, while the S&P 500, after a 3 percent drop on Wednesday, gave up its gains for the year. The decline has been swift: Three weeks ago, the S&P 500 was up nearly 10 percent on the year.