Shares of the largest technology companies dipped in the first trading day of 2021, a bumpy start for the sector that posted some of the highest gains last year.
Big Tech’s Monday drop came amid a broader market sell-off, attributed to rising Covid-19 cases and anticipation of Tuesday’s Georgia runoff elections. Democratic wins could result in increased tax rates and more progressive policies, which may pressure equities, Oppenheimer’s John Stoltzfus said Monday. The Dow Jones Industrial Average traded 1.3% lower, while the S&P 500 was down 1.5%.
Here’s a quick look at what the big tech stocks did on Monday compared with how they closed out 2020:
- Apple shares closed down 2.47% after dropping as much as 4.47% in the day. The company was among the best performing stocks in 2020, gaining 80.7%, as consumers flocked to its products to supplement a remote lifestyle.
- Amazon, the other big winner of 2020, closed down 2.16%. The company had become a key e-commerce player amid the pandemic and its stock saw a 76.3% bump in 2020.
- Streaming titan Netflix led Monday’s declines and closed down 3.3%. The company had been a haven for people seeking entertainment at home. Investors sent the stock up 67.1% in 2020.
- Microsoft was among the heavier hit, closing down 2.13%, and Alphabet traded 1.51% lower. Both companies had a strong 2020, with shares up up 41% and 30.9% in the year, respectively.
- Facebook shares fell 1.54% on Monday after its stock closed 2020 up 33.1%.