Why Datadog, Okta, and DocuSign Plunged Today
Shares of enterprise software companies Datadog (NASDAQ: DDOG), Okta (NASDAQ: OKTA), and DocuSign (NASDAQ: DOCU) were plunging today, down 5.3%, 6%, and 7.2%, respectively, as of 2 p.m. EDT.
It was a bad day for tech in general, and especially for higher-priced growth stocks such as these three. Interest rates continued to rise this week after the fallout from Tuesday's inflation report. In addition, there have been several preannouncements from major companies that are hinting at a global recession. Finally, today was an expiration day for options, which can cause high volatility.
High-growth stocks with little or no profits, such as these three enterprise software names, have been crushed this year, as the multiple tailwinds seen during the pandemic are all reversing into headwinds.
Source Fool.com
