5 stocks that moved the market in April | Smart Change: Personal Finance

shares Netflix (NASDAQ: NFLX) It fell nearly 50% in April after a disastrous earnings report. For the first time in more than a decade, the streaming content company has reported a drop in subscribers. Investors were already concerned about slowing growth prior to this announcement, and the stock was dealing with waning momentum from COVID-19 stay-at-home trends.

Stocks often experience major valuation shifts as they move from growth to value. This appears to be happening as Netflix settles into a more established role in a mature industry, but other factors come into play as well. There is widespread competition from a long list of streaming platforms. There is also concern that consumers have reached subscription stress. This is not good for Netflix’s growth and cash flow potential, and as a result the stock is taking a beating.

Coinbase Global (NASDAQ: currency) It fell 41% last month, although there was no news of the company’s earnings. There were some analyst talks that affected the stock with negative comments about the growing impact of competition. None of this is exactly news, but headlines like this can certainly drag stock prices down.

More than anything else, Coinbase has been a victim of capital market forces. Investors are withdrawing funds from risky assets, including growth stocks and cryptocurrencies. Bitcoin It has fallen about 20% over the past month, with many coins and smaller coins dropping even more. Coinbase is a growing stock, and its financial results reflect activity in the crypto markets. It was the perfect storm for a bad month. The long-term investment thesis hasn’t changed much for Coinbase. It’s cheaper if you happen to like the business, but all the same risks are still there.

tech giant Amazon (NASDAQ: AMZN) It fell nearly 24% last month after a tough earnings report. This stock’s decline highlighted a number of major economic and market trends simultaneously. Like other retail stocks, Amazon is struggling with inflation, and margins are shrinking. Supply chain issues continue to cause disruptions as well. Meanwhile, e-commerce sales are slowing as consumers’ wallets tighten, and people return to traditional stores.

Amazon’s first-quarter results fell short of expectations due to these challenges, and the company’s full-year outlook has sparked great concern on Wall Street. Even a solid performance in Amazon’s cloud services segment wasn’t enough to avoid huge losses amid the tech sell-off. This may indicate a buying opportunity for the Amazon bulls in the long-term.

Twitter (NYSE: TWTR) He emerged as one of the few strong performers last month. Social media stock rose nearly 27% in April when news broke Tesla CEO Elon Musk was trying to take over the company. Regulatory filings showed that Musk became the largest shareholder, acquiring nearly 10% of Twitter shares. Then he suggested a buyout to take the social media platform private.

This was a very direct position and had nothing to do with Twitter’s financials or operations. When publicly traded companies are acquired, the new owners usually pay a premium, so reliable acquisition news pushes shares higher immediately. The deal isn’t entirely final, so the market price on Twitter reflects the potential for the acquisition to be closed.

nvidia (NASDAQ: NVDA) It fell more than 30% in April, although it did not announce major earnings news. It’s been a tough month for semiconductor stocks across the board with challenging macroeconomic conditions and some worrying earnings reports in the sector. This did some collateral damage to stocks like Nvidia, which were weak due to their strong valuation.

Several tech companies and market analysts have diagnosed another shortage of semiconductor supplies, with factory closures related to COVID-19 in China being the latest cause. Concerns about an economic slowdown associated with higher interest rates are also a threat to this cyclical industry. Many investors who loved Nvidia have remained on the sidelines, because the stock has been expensive over the past few years. This might be exactly the opportunity these people had been expecting.

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John Mackie, CEO of Whole Foods Market, an Amazon company, is a member of The Motley Fool’s Board of Directors. Ryan Downey holds positions at Amazon and Nvidia. Motley Fool has positions at Amazon, Bitcoin, and Coinbase Global, Inc. and Netflix, Nvidia, Tesla, and Twitter recommend it. Motley Fool has a disclosure policy.