These 13 Nasdaq-100 stocks had the biggest swings up and down after the Fed raised rates. Should you be scared off?
By Philip van Doorn
Airbnb, eBay and Moderna were among the stocks with the biggest price swings during two wild trading sessions
One day after the Nasdaq Composite Index rose more than 3%, in what appeared to be a positive reaction by investors to the Federal Reserve's latest moves to fight inflation, U.S. stocks reversed on May 5 with brutal volatility.
Market Extra:As Dow sinks over 1,000 points, signs of panic selling emerge in the stock market
The Nasdaq sank 5% on Thursday, more than reversing its gains over the previous three trading sessions. The tech-weighted index has now fallen 21.3% for 2022 (excluding dividends).
Diving into the index's large-cap non-financial subset (tracked by the Invesco QQQ Trust (QQQ)), here are the 13 stocks among the Nasdaq-100 that had the biggest two-day swings -- 12% or more:
Company Ticker Two-day high/low price swing Price change -- May 5 Price change -- 2022 Decline from 52-week high Date of 52-week intraday high
Match Group Inc. MTCH 23.3% -8.3% -41.9% -57.8% 10/21/2021
Datadog Inc. Class A DDOG 18.8% -6.0% -37.2% -44.0% 11/17/2021
Cognizant Technology Solutions Corp. Class A CTSH 16.4% -12.8% -17.0% -21.3% 03/22/2022
Booking Holdings Inc. BKNG 15.6% 3.3% -9.5% -20.0% 02/16/2022
eBay Inc. EBAY 15.2% -11.7% -27.8% -40.8% 10/22/2021
Fortinet Inc. FTNT 14.4% -1.0% -20.8% -23.5% 12/29/2021
Pinduoduo Inc. ADR Class A PDD 14.3% -11.2% -30.9% -71.9% 06/01/2021
MercadoLibre Inc. MELI 14.3% -10.7% -32.3% -53.6% 09/02/2021
CrowdStrike Holdings Inc. Class A CRWD 13.3% -9.7% -11.6% -39.4% 11/10/2021
Zscaler Inc. ZS 12.7% -8.9% -40.7% -49.4% 11/19/2021
Airbnb Inc. Class A ABNB 12.7% -8.4% -14.1% -32.7% 11/17/2021
Moderna Inc. MRNA 12.1% -8.4% -44.1% -71.5% 08/10/2021
DocuSign Inc. DOCU 12.0% -8.6% -46.9% -74.3% 08/10/2021
Source: FactSet
Click on the tickers for more about each company.
Read Tomi Kilgore's detailed guide to the wealth of information for free on the MarketWatch quote page.
Jump in or head for the hills?
Buying "on the dips" hasn't been a very good trading strategy this year:
But there are always investors looking to ride a recovery. If you are one of those, analysts polled by FactSet believe that eight of the volatile stocks listed above are worth a second look.
Leaving the list in the same order, here's a summary of analysts' opinions and consensus price targets:
Company Ticker Share "buy" ratings Consensus price target Closing price -- May 5 Implied 12-month upside potential
Match Group Inc. MTCH 86% $122.38 $76.88 59%
Datadog Inc. Class A DDOG 79% $179.76 $111.87 61%
Cognizant Technology Solutions Corp. Class A CTSH 48% $93.14 $73.60 27%
Booking Holdings Inc. BKNG 68% $2,781.75 $2,171.91 28%
eBay Inc. EBAY 41% $59.60 $48.04 24%
Fortinet Inc. FTNT 59% $365.24 $284.52 28%
Pinduoduo Inc. ADR Class A PDD 80% $65.51 $40.28 63%
MercadoLibre Inc. MELI 91% $1,588.64 $913.22 74%
CrowdStrike Holdings Inc. Class A CRWD 93% $272.75 $180.98 51%
Zscaler Inc. ZS 79% $324.60 $190.41 70%
Airbnb Inc. Class A ABNB 43% $192.50 $143.09 35%
Moderna Inc. MRNA 48% $234.47 $142.02 65%
DocuSign Inc. DOCU 48% $104.06 $80.93 29%
Source: FactSet
Don't miss:With interest rates rising, it's time to focus on MANG stocks instead of FAANG, according to Jefferies
-Philip van Doorn
(END) Dow Jones Newswires
05-09-22 0737ET
Copyright (c) 2022 Dow Jones & Company, Inc.