Record Close for Nasdaq as Tech Triumphs

By Markets FOXBusiness

Propelled by high-flying tech stocks, the Nasdaq Composite Index hit a record close on Wednesday, ending the day at 5106.59.

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This is the third record close for the Nasdaq in 2015, as tech stocks like Apple (AAPL), Amazon (AMZN) and Netflix (NFLX) have soared. The index is up 22% in the past year and Netflix shares have soared 80% to a lifetime high.

This “speaks to the growing importance of social, enterprise, and cloud technology in today’s landscape,”  said Daniel Ives, analyst at FBR Capital Markets.  “Tech is leading the charge and investors are starving for growth which highlights why multiples and valuations continue to tick up higher across Nasdaq.”  The two worst performing Nasdaq 100 stocks are Keurig Green Mountain (GMCR) and Wynn Resorts (WYNN) which have lost over 30% each this year.

The intraday record still stands at 5132.52, last seen in the dot com boom in March 2000. Many have been questioning whether we are in another tech bubble, with sky high valuations for tech companies in both the public markets and IPO pipeline. Others maintain that the greater focus on revenue sets this tech boom apart.

But not every tech company is growing. In the coming weeks, a couple of the larger tech companies will be getting smaller. EBay (EBAY) will spin off Paypal (PYPL) and Hewlett-Packard (HPQ) will split in two.

The DJIA closed Wednesday at 18,163.09, up .67%. The S&P 500 closed up .92% at 2132.48.

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