Why CrowdStrike, Datadog, and IAC/InterActiveCorp Fell 11.6% or More in March
Shares of IAC/InterActiveCorp (NASDAQ: IAC), Datadog (NASDAQ: DDOG), and CrowdStrike (NASDAQ: CRWD) fell 11.6%, 12.7%, and 15.5%, respectively, in March, according to data from S&P Global Market Intelligence. None of the aforementioned companies reported any significant bad news; in fact, both CrowdStrike and IAC reported good news. Instead, all appeared to fall because of the same market dynamics of rising long-term interest rates and a rotation to cheaper "reopening" stocks.
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In 2020, technology-oriented growth stocks skyrocketed. Fears over the pandemic caused long-term interest rates to fall. At the same time, the economy leaned more heavily on new technologies amid the stay-at-home economy. Higher growth and lower interest rates increased the value of future earnings for new-age tech stocks, causing many to skyrocket in value.
Source Fool.com
