Netflix’s stock is down a staggering 71% year-to-date. The stock’s fall from grace includes dropping its FAANG-status as the company’s market cap has decreased from $300 billion to $75 billion. This was partly due to the company reporting it lost subscribers for the first time since 2011, with a loss of 200,000 subscribers in the most recent quarter. The company also forecast a decline of 2 million paid subscribers for the second quarter.

Fintech companies are disrupting the global economy with new and innovative products. Technological advancements have led to considerable investments in this sector and traditional finance companies have not been able to efficiently cater to changing business needs. Of the recent fintech quarterly earnings, D-Local stood out for its strong bottom line.

Q1 earnings proved that cybersecurity stocks are insulated from supply chain issues and remain a number one priority across corporate budgets. Specifically, cybersecurity-related companies reported top line and bottom line beats plus a handful raised guidance while consumer-related tech and less cash efficient cloud verticals lowered or missed guidance this past quarter.

Despite supply constraints and the challenging macro environment, semiconductor stocks have withstood the tech sell-off better than other sectors. This is due to many semiconductor companies being profitable with strong free cash flows.

I/O Fund lead tech analyst Beth Kindig joined Motley Fool analyst Deidre Woollard to talk about the recent downturn for tech investors and how I/O Fund is weathering the storm. 

Unity has demonstrated strong price action following the IPO last year due to its unique blend of cash efficient ad-tech monetization and near-monopolistic game development platform. The company is well suited for the Metaverse and industrial 3D worlds due to its history of supporting 3D game development.

For Cloudflare, revenue growth is not an issue at this time. Yet, revenue growth is less meaningful in the current macro environment if the growth does not translate to a healthier bottom line.

With Shopify’s stock in the gutter, is now a good time to buy the company? The answer is that it depends on your time horizon. The long-term story is intact but there are also opportunity costs to holding a stock that must be considered.