Technology sector

Tech Sector Update 5/24/2022: RBLX,QUBT,CTEK,SNAP

JTech stocks were tumbling in Tuesday’s trading, with shares of social media companies particularly hard hit after Snap (SNAP) warned overnight that its current Q2 revenue would likely track the bottom of its projected range in due to a faster than expected deterioration in macroeconomic conditions.

At last look, the SPDR Technology Select Sector ETF (XLK) was down 2.0% and the Philadelphia Semiconductor Index was down 2.5% this afternoon.

In corporate news, Roblox (RBLX) fell 9.1% after Atlantic Equities downgraded the online entertainment platform company to neutral from overweight, coupled with a 50% reduction in his price target for the stock at $30 per share.

Quantum Computing (QUBT) rebounded on Tuesday, climbing nearly 32% in recent trading, after announcing its acquisition of quantum photonics company QPhoton for about $19 million in shares based on the closing price of $1.56 per Quantum Computing share Monday night. The agreement also includes warrants to purchase up to 7.03 million additional Quantum shares.

CynergisTek (CTEK) doubled in price on Tuesday after the cybersecurity firm accepted a $17.7 million buyout offer from Clearwater Compliance on Monday evening, with portfolio company Altaris Capital Partners paying $1.25 in cash for each CynergisTek stock, which is a 112% premium to its last price.

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