Stockwatch: Chip makers hit hard by pessimistic 2009 forecast
Business and Law
By Wolfgang Gruener
Thursday, November 20, 2008 00:01
Wall Street is going through another rough week and IT companies are feeling the full effect of the declining stock values. Our sample of 23 tech companies lost a combined $25.7 in market capitalization in the past seven days alone - $16.4 billion are contributed by Microsoft alone, which is now valued at just $164.2 billion. However, in terms of a percentage loss, chip makers are hit worst by what seems to be a perfect storm.
Compared to their 12-month highs, Nvidia has lost 83%, AMD 82% and Intel 55%. 19 of the 23 companies in our list have lost at least 50% in market capitalization over the past 12 months.
Especially noteworthy are Blackberry maker RIM, which is down 69% and is still rumored to be an acquisition target for Microsoft, Google, which is down 61% from more than $200 billion to 88.1 billion, Apple, which is down 68% to $77 billion as well as Seagate, which lost 86% and has a market capitalization of just $1.9 billion.
The best performing stock remains Oracle, which is now down 32%. The complete lists for November 19 and November 12 are below.
Company
Stock value decline as of 11/19/2008 compared to 12 month high
Market capitalization in billions ($)
Nortel
-96%
0.3
Seagate
-86%
1.9
Sun
-85%
2.4
Sandisk
-84%
1.4
Nvidia
-83%
3.4
AMD
-82%
1.3
Palm
-80%
0.2
Motorola
-79%
7.8
Yahoo
-70%
12.7
RIM
-69%
25.6
Ebay
-67%
14.9
Dell
-64%
20.3
Google
-61%
88.1
Apple
-58%
76.7
Intel
-55%
69.5
Adobe
-54%
11.5
Symantec
-51%
9.4
Microsoft
-50%
164.1
Novell
-50%
1.3
Cisco
-49%
88.7
HP
-48%
80.8
IBM
-42%
102.1
Oracle
-32%
82.5
Company
Stock value decline as of 11/12/2008 compared to 12 month high