Shares of Adobe Inc. (NASDAQ:ADBE) fell today as investors continued yesterday's market sell-off. After a few months of skyrocketing share prices, many tech investors are selling their shares and locking in their profits.
Adobe's stock fell by as much as 7.1% today, but as of 1:47 p.m. EDT, the company's stock was down 4.3%.
The S&P 500 has experienced significant gains over the past few months, led mostly by tech stocks. Investors have flocked to the technology sector as the coronavirus pandemic has forced people to spend more time at home.
Adobe has been one such tech company that's benefited from an increase in investor sentiment over the past few months, with its share price rising 60% since the beginning of this year. But the company's stock has taken a hit over the past two days, as many investors cash in on the phenomenal growth Adobe and other tech stocks have made.
But even with yesterday's and today's share-price slide, Adobe's stock is still up 46% this year.
The U.S. is still reeling from COVID-19 and a pandemic-induced recession. The current economic situation is likely the cause of more volatility in the markets in the coming months, even if the recent sell-off subsides soon. Investors should remember, though, that Adobe's stock-price dive today doesn't have anything to do with the company's underlying business or its long-term prospects.