Why Confluent Stock Was Plummeting This Week
Data streaming specialist Confluent's (NASDAQ: CFLT) stock was streaming in the wrong direction these past few trading sessions. A fairly aggressive price target cut from an analyst was a catalyst for this, and the share price was down by almost 13% week to date as of early Friday morning, according to data compiled by S&P Global Market Intelligence.
The downgrading party was Truist Securities analyst W. Miller Jump. As part of a broader analysis of the infrastructure and security software tech segments he enacted a double-digit reduction on his Confluent price target. It's been lowered to $35 per share from the previous $40. He maintained a buy recommendation on his stock nevertheless.
According to reports, Jump feels that investor sentiment on the two segments is worsening due to uncertainty over policy decisions taken by the current presidential administration. The current trend of downsizing federal departments also threatens companies with significant government business.
Source Fool.com
