Rising interest rates have been a significant headwind for U.S. equities. But not for leading technology companies. They are immune to the rising cost of money and the competition they face from money market funds and fixed-income securities, like Treasury bonds.
“Many tech companies have their value in high growth and higher outer years, so in the environment where interest rates are rising rapidly, it means the discount rate increases, and this affects them more,” Yevgeny Senderov, CEO of Dyninno Group of Companies, told International Business Times. “Given that more of their value is in the outer terminal value of future growth years.” “However, on the other hand, high-tech companies have been traditionally more profitable than most of the traditional economy,” he added.
Read the complete article here
We provide communication in written form only
pr@dyninno.com
Phone
+44 7391 796792
v.veltmane@dyninno.com
j.kondratovica@dynatech.lv
Phone
+37 120 65 5702
+37 129 61 3971
karnika.bahuguna@dyninno.in
i.cerevco@datapro.md
Phone
+37 379 420400
j.carreno@dyninno.com
Phone
+571 314 49 00053
We do not comment on anything which might negatively impact our business, our partnerships, our employees, or our competitors
We are happy to provide information at any time of day or night but ask you to understand that we require up to two hours to prepare any statement
