Why Appian Stock Jumped 6% Higher This Morning
It's been a brutal year for Appian (NASDAQ: APPN) shareholders. After skyrocketing in value in 2020, the stock backtracked in 2021 and lost nearly 60% of its value. The slide has continued the first couple weeks of 2022 as high-growth stocks remain under pressure. But today, Appian is getting a bit of a relief rally. The stock is up 6.2% as of 12:55 p.m. ET.
Like other high-growth tech stocks, Appian has been suffering as of late because of the threat of higher interest rates. The Federal Reserve has indicated a few short-term interest rate hikes are likely in order this year to try to beat back inflation. Higher rates lower the present value of stocks, especially those like Appian that are growing fast but are not yet profitable.
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Source Fool.com