Informatica Shares Plunged: What You Need to Know

Updated

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Shares of data-management software maker Informatica (NAS: INFA) look lost and confused today, falling as far as 15.5% overnight on heavy volume.

So what: Storage specialist NetApp (NAS: NTAP) , which should know a thing or two about the demand for data-intensive technologies, just reported earnings with a somewhat glum view of the coming quarter. As a direct result, Big Data vendors from Informatica and Oracle (NAS: ORCL) to Teradata (NYS: TDC) and Tibco Software (NAS: TIBX) are plunging like there's no tomorrow.

Now what: NetApp didn't actually predict the end of the world last night -- just a temporary slowdown based on an uncertain economy. We've heard that song before and a lot of these worries should already have been priced into technology vendors of all stripes. Day traders may want to stay out of this market for a while, but for the long-term investors among us this looks like a terrific time to build a portfolio. For more information on how Big Data is changing the face of business and becoming absolutely essential to modern IT shops, grab a copy of this free report. You'll be glad you did, and it comes with absolutely no strings attached.

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At the time thisarticle was published Fool contributor Anders Bylund holds no position in any of the companies discussed here. The Motley Fool owns shares of Oracle. Motley Fool newsletter services have recommended buying shares of Informatica, Teradata, and Tibco Software. Motley Fool newsletter services formerly recommended shorting Tibco Software. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool is investors writing for investors.

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