SQ - Why Block Popped but Appian and Atlassian Dropped on Friday
The technology stock segment of the market has been treated like a monolith for most of 2022, but that changed in a big way on Friday. Some companies continue to see growth and improving financials despite a weakening economy while others are seeing rough roads ahead.
Three companies that exemplify this are Block (NYSE: SQ) , Appian (NASDAQ: APPN) , and Atlassian (NASDAQ: TEAM) . Block traded as much as 18.2% higher on Friday and is up 10.1% at 1:30 p.m. ET. Shares of Appian were off 25.6% at their low and are currently down 24.6% while Atlassian plunged as much as 33.9% and is now down 32.3% on the day.
Third-quarter financial results were the reason for the big reaction to each stock today and I think it's telling the direction each is going given their businesses and end markets. Block, which serves merchants with the Square app and consumers with the Cash App, said non- Bitcoin revenue was up 35.7% to $2.75 billion and net loss was a modest $14.7 million, or $0.02 per share.
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Why Block Popped but Appian and Atlassian Dropped on Friday