This Tech Giant Was the Worst-Performing Mega-Cap in the Dow Jones Industrial Average in the First Half. Stock to Avoid or No-Brainer Buying Opportunity?
The stock lost about 20% in the first half.
Overview
After three years of spectacular gains, technology companies faced a rockier path in the first half of this year -- particularly in the first quarter. Investors worried about the pace of spending on artificial intelligence (AI) and whether the revenue opportunity would make it all worthwhile. Turmoil in Iran also weighed on sentiment as energy prices rose and investors carefully watched U.S. economic reports -- and many of these reports prompted them to question the strength of the economy. All of these uncertainties pushed investors into a rotation out of certain AI stocks and into companies viewed as offering more revenue stability.
The situation brightened in the second quarter, as strong corporate earnings reports and work toward peace in Iran offered investors reason for optimism. The S&P 500, the Nasdaq Composite, and the Dow Jones Industrial Average even advanced in the double digits. And the Dow posted its best first half in five years.
Details
But, during the first half, one particular tech stock had a difficult time. This giant was the worst-performing mega-cap in the Dow over that period. Is the company a stock to avoid, or is it offering investors a no-brainer buying opportunity right now? Let's find out.
Source
Originally published at www.fool.com.