Once Market Darlings, Tech Stocks Enter 'Prove-It-To-Me' Era

The S&P 500 tech sector, up 1.8% in 2018, is still among the best-performing groups in the broader index. But more than a third of the 69 stocks in the sector have declined in 2018, the most for any full year since 2011. In 2017, only six of them had lost ground. The divisions are likely to come into sharper focus as more tech-focused companies report financial results in the coming days. With valuations already stretched by traditional measures, investors are contemplating which companies warrant the higher multiples that typically come with the tech label.