What happened
Shares of spacial data company Matterport (MTTR) jumped as much as 14.3% on Tuesday as growth stocks popped across the market. At 1:50 p.m. ET today, shares were still up 11.3% and have been holding steady for the last few hours.
So what
The biggest driver of Matterport's stock today is a recovery in growth stocks. After selling off for the last week, we are seeing a sharp bounce back today. But you can see below that the stock still isn't back to where it was late in November.
MTTR data by YCharts.
Stocks fell on worry that the economy would slow or inflation would increase, but that concern isn't driving the market today, so shares have reversed course.
A Matterport view of a building. Image source: Matterport.
Now what
Moves like today are part of the long-term volatility of owning growth stocks. The market can swing wildly depending on how investors are viewing interest rates or the growth prospects for companies over the next 5 to 10 years. In Matterport's case, nothing has changed about the investment thesis since the company hit the public market, so I see no reason to do anything more than keep an eye on the company's long-term prospects. As long as more people keep using the platform, and capabilities on Matterport improve, this is a stock I want to own. And I'm certainly not a seller today.
