Market Cap Check: Winter Is Coming for Media and Tech Stocks

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New VIP+ Analysis: Q3 wasn’t great, but Q4 doesn’t look much better. Here’s why investors are bracing for a turbulent quarter ahead.

The third quarter has drawn to a close, and the market stats paint an ugly picture.

Looking back at Q3, struggling streaming giant Netflix staged a bit of a comeback and outperformed all its peers with its 37% market cap gain between June 30 and Sept. 30. Nevertheless, the company’s value was still down 60% so far in 2022. The biggest losers in Q3 included movie theater chain AMC and streaming company Roku. Roku was also the worst performing media stock thus far in 2022 with its market value sinking a whopping 74%. Only two companies remain positive on the year — WWE and Tegna. involving ex-CEO Vince McMahon, WWE has held up relatively well. WWE’s market value increased a solid 39% in 2022. Much of the recent stock jump can be attributed to increased sale speculation following McMahon’s retirement.

Twitter spent this year being wrapped up in will-he-won't-he drama with Tesla CEO Elon Musk. Musk has taken Twitter’s management and investors on aregarding whether he would buy the company and take it private. There is still no resolution to the messy situation, but in the third quarter, Twitter’s value increased by 17%. However, Twitter is the best performing Big Tech giant this year, with its value only contracting by 2% in 2022.

 

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