Who could have foreseen the selloff in shares of big technology companies? Anyone who bothered to do a little math.
Technology shares are taking a historic beating. The average tech stock in the Russell 3000 Index is down 44% from its 52-week high, and many are down much more. Of the roughly 400 stocks in the sector, about a quarter are down more than 60%, most of them smaller companies. Big tech hasn’t held up much better, though. Amazon.com Inc. is down 43% from its 52-week high. Netflix Inc. is down 73%.