Investors Sour on Ad Tech Sector

The spring selloff of tech stocks has subsided, but the ad tech sector is still struggling. Across the board, ad tech companies that filed to go public in the last year are well below their 52-week highs, with some seeing their valuations cut in half.

The negative sentiment is affecting private, venture-backed ad tech companies too, with fundraising becoming more difficult. And it confirms fears that even if some ad tech firms are showing dependable quarterly earnings, the sector as a whole simply has less upside potential than many had once believed.