Keysight Technologies stock falls sharply despite strong quarterly results

Keysight Technologies shares fell 11.7% last week, even though the company reported strong results for its third fiscal quarter. Sales and profits both beat expectations, and the company's full-year forecast was better than analysts had predicted.

So why did the stock fall? The wider technology sector had a difficult week. Investors worried about high costs in the AI industry and the general state of the economy. Semiconductor and hardware stocks dropped broadly, and the Philadelphia Semiconductor Index hit its lowest point in several months.

Keysight's management also warned that supply chain problems could slow growth in the short term. The stock had risen sharply in recent months, which made it easier for investors to sell and take their profits. The S&P 500 fell 1.9% over the same period.