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Why Gogo Stock Fell Monday

By Daniel Sparks - Updated Feb 24, 2020 at 5:23PM

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The tech stock is getting pulled down by coronavirus fears.

What happened

Shares of Gogo (GOGO 4.22%), a connectivity and wireless-entertainment services company for the aviation industry, fell sharply on Monday. By the time the market closed, the stock was down 10.7%.

The stock's decline comes amid a broader market sell-off as investors are spooked by the spread of the coronavirus outside China, including in Italy and South Korea. The Nasdaq Composite finished the day down 3.5%.

A chalkboard sketch of a chart showing a stock price declining

Image source: Getty Images.

So what

Travel-oriented companies have been hit particularly hard amid coronavirus fears. Because Gogo provides in-flight broadband connectivity, some investors are likely concerned that the virus will hurt flight passenger volume and ultimately weigh on Gogo's financial results.

Now what

Investors will get a better idea of how the coronavirus outbreak is affecting Gogo when the company reports earnings. Gogo is scheduled to report its fourth-quarter results before market open on March 13. 

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