Shares of software names are getting pummeled in Monday morning trading in the wake of a recent rally, after the iShares Expanded Tech-Software Sector ETF (IGV) closed at an all-time high on Friday. Several recent initial public offerings are among the biggest decliners, with Zoom Video Communications Inc. shares down 8.1% and CrowdStrike Holdings Inc. shares (CRWD) off 6%. Other names showing weakness in the session include Okta Inc. (OKTA), down 6.9%, Roku Inc. (ROKU), down 6.2%, Atlassian Corp. (TEAM), down 7.4%, Smartsheet Inc. (SMAR), down 6.2%, and Shopify Inc. (SHOP.T), down 5.5%. Larger software stocks including Salesforce.com Inc. (CRM), Adobe Systems Inc. (ADBE), and Workday Inc. (WDAY) are down as well. The First Trust Cloud Computing ETF (SKYY) is off 2.6% in the session, while the Global X Cloud Computing ETF (CLOU) is off 3.2% and the more software-focused iShares Expanded Tech-Software Sector ETF is down 2.5%. Barron's warned of a software bubble ( ) in its weekend issue. The S&P 500 is only off 0.3% in Monday trading.
-Emily Bary; 415-439-6400; AskNewswires@dowjones.com
(END) Dow Jones Newswires
July 29, 2019 10:57 ET (14:57 GMT)
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