Tech Sell-Off Drags Major Indices Lower as Semiconductors Lead the Decline

2026-10-31 · Money Checkup market briefing

Stocks had a rough week, with every major index finishing in the red and the Nasdaq Composite taking the hardest hit, falling 2.86% to 25,437.0. Semiconductors were at the center of the pain — a sector that includes giants like Nvidia, Broadcom, and Micron Technology dropped an average of 18.5% across 61 companies, making it one of the week's biggest drags on the broader market.

All four major benchmarks closed lower this week. The S&P 500 slid 1.82% to 7,580.07, the Dow Jones fell a more modest 1.09% to 51,770.31, and the Russell 2000 lost 1.66% to close at 2,811.84. The Nasdaq's steeper decline lines up with the chip-sector weakness, along with related losses in Electronic Components (-18.3%, 13 companies including Sandisk, Seagate, and Western Digital) and Electrical Products (-15.1%, 27 companies including Amphenol, Teradyne, and Flex). Precious Metals also slumped 15.6% across seven names, and the lone stock in Other Metals and Minerals, enCore Energy, dropped 31.8%.

On the flip side, a handful of smaller industries posted strong gains, though most were driven by just one or two names rather than broad sector strength. Professional and Commercial Equipment rose 23.9% (led by SiteOne Landscape Supply), Tobacco gained 21.7% (Turning Point Brands), and Medical Electronics climbed 19.7% (GE HealthCare Technologies). Garments and Clothing, a slightly broader group of five companies including Cintas, VF Corp, and PVH, rose 17.3%. Diversified Commercial Services, the largest gaining group with 17 companies including United Rentals, PayPal, and Paychex, was up 15.5%.

Individual stock moves were dramatic in both directions this week. Grid Dynamics Holdings jumped 54.5%, Replimune Group gained 53.7%, and Surgery Partners rose 47.4%, with AirSculpt Technologies, ADT, Universal Logistics Holdings, Teladoc Health, and Glaukos all posting gains above 30%. On the losing side, Apollo Commercial Real Estate Finance was hit hardest, down 63.7%, followed by Bicara Therapeutics (-46.5%), Datavault AI (-44.7%), and Xerox Holdings (-42.8%). ServiceNow also stood out among the losers, falling 33.9% — a notable move for a large-cap name and one that contributed to the Nasdaq's weak week.

On the filings front, six companies submitted annual reports (10-Ks) over the past week. Simply Good Foods posted the strongest Health Score of the group at 79.3, while Insteel Industries (64.3) and Acuity (61.2) also filed. UniFirst (55.8), Jabil (54.8), and WD-40 (53.0) rounded out the group with more middling scores. Separately, five companies remain flagged with going-concern audit notes, meaning their auditors have expressed substantial doubt about their ability to continue operating: Entrada Therapeutics, FS KKR Capital Corp, Bain Capital Specialty Finance, New Mountain Finance Corp, and Innovative Industrial Properties. These flags don't necessarily mean imminent failure, but they're worth knowing about if any of these names are on your radar.

With chipmakers and other big tech-adjacent names under pressure this week, it's a good reminder to check how individual holdings score on fundamentals rather than reacting to headline index moves alone. Money Checkup's screener and Health Score tools let you look past the weekly swings to see how a company's balance sheet and profitability actually stack up.

Not investment advice. Data and analysis only.