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Citron Research Tweet Pulled NVIDIA Prices Lower on December 28

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Information Technology sector

After rising to fresh yearly highs on December 27, the information technology sector pulled back amid the broad market sell-off on December 28. The S&P 500 Information Technology sector fell 0.87% on December 28. NVIDIA (NVDA) and First Solar (FSLR) were the top losers in the information technology sector yesterday. After rising for ten consecutive trading days and reaching yearly highs, NVIDIA—the graphics processing units designer—fell 6.9%.

Prices fell sharply after short-seller firm Citron Research tweeted that NVIDIA will head back to $90 in 2017. It also added that the market is disregarding the headwinds. Citron said that NVIDIA has significant competition from Intel (INTC) and Advanced Micro Devices (AMD). Read How Long Can NVIDIA’s Stock Keep Rising? to learn more.

Health Care sector

After moving higher for three consecutive trading days, the health care sector fell on December 28. The health care sector gained initially right after the US presidential election along with other major sectors. However, Donald Trump’s comments on high drug prices and his take on the Affordable Care Act weighed on the health care sector. The S&P 500 Health Care sector fell 0.72% on Wednesday. Mallinckrodt (MNK) and Perrigo Company (PRGO) were the top losers in the health care sector on December 28.

Dividend Index

The Dow Jones US Select Dividend Index (DJDVP) tracks the performance of major dividend-yielding stocks in the US. On December 28, DJDVP fell 1.0%. On December 28, Five Oaks Investment (OAKS), a real estate investment trust, announced a reduction in the monthly dividend to $0.05 per share on Wednesday. The announcement made Five Oaks Investment fall 5.0% to $4.93 on December 28.

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