Growth Investors Face Test of Their Mettle

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WSJWhatsNow: Apple’s recent revenue warning is testing just how much investors are willing to bet on technology stocks

The revenue warning issued on Monday by Apple Inc. is another test of investors’ long-running love affair with so-called growth stocks.

For weeks, investors have bet that the giant technology stocks that have led the market would march on despite the disruption and economic slowdown in China caused by the coronavirus. They’ve continued to put their faith in companies that promise rapidly increasing profits and revenue.

 

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Short-term turbulence in the market that lowers prices provides a buying opportunity for long-term investors.

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