Why Uber Technologies, Twilio, and Etsy Slumped Today
Thursday was a tough day for Wall Street, as market participants had to bring the contentious trade issue back into their collective consciousness. After a couple of weeks of encouraging developments on trade relations, word that Chinese officials might be losing confidence in reaching a long-term deal weighed on investor sentiment. Moreover, bad news sent some stocks sharply lower. Uber Technologies (NYSE: UBER), Twilio (NYSE: TWLO), and Etsy (NASDAQ: ETSY) were among the worst performers. Here's why they did so poorly.
Shares of Uber Technologies dropped 7%, moving in the opposite direction of its biggest rival in the ride-hailing business. Lyft came out with solid third-quarter performance, including a 63% jump in revenue and a narrowing of adjusted net losses by more than half over the course of the past 12 months. Uber won't announced its results until next week, but some negative reports about how the company handled sensitive consumer data and the decision it made to change its mind about a planned investment in Colombia seemed to produce uncertainty among shareholders about its long-term strategic vision and likelihood of success. With the decline, Uber sank even further below its IPO price, raising additional concerns.
Image source: Uber.
Source Fool.com
