Big tech stocks lost more than $200 billion in market value in a day from coronavirus fears

Big tech stocks lost more than $200 billion in market value in a day from coronavirus fears
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  • Coronavirus fears hammered technology stocks on Monday.
  • The prospect of a pandemic helped wipe more than $200 billion from the combined market capitalization of Apple, the Google parent Alphabet, Amazon, Microsoft, and Facebook.
  • Shares in all five tech titans slumped by at least 4% after coronavirus deaths were reported in Iran, Italy, and South Korea.
  • Apple expects to miss its quarterly revenue target because the coronavirus has forced store closings, eroded customer traffic, and disrupted its supply chain.

Coronavirus fears on Monday helped erase more than $200 billion from the combined market capitalization of Applethe Google parent AlphabetAmazonMicrosoft, and Facebook.

All five technology titans saw their stocks tumble at least 4% as investors braced for the novel coronavirus to escalate into a pandemic. Apple, the most valuable public company in the world, saw more than $60 billion wiped off its $1.4 trillion market cap.

Microsoft also gave up nearly $60 billion, while Amazon’s and Alphabet’s market caps shrank by more than $40 billion each. Facebook, the least valuable member of the group, surrendered more than $25 billion.

President Donald Trump praised Microsoft, Apple, Google, and Amazon as “MAGA” stocks earlier this month, when all four boasted market caps north of $1 trillion. Monday’s sell-off pushed Alphabet below that valuation, and Amazon closed just north of it.

The “big tech” quintet looked set to regain ground early Tuesday, however, with their stocks rising roughly 1% in premarket trading.

The novel coronavirus, which causes a disease called COVID-19, has infected nearly 80,000 people, killed more than 2,600, and spread to more than 30 countries. Recent fatalities in Iran, Italy, and South Korea have fanned fears that it will take root worldwide and hamper global growth.

Source: Business Insider

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