IDK. Tech companies are bringing in more revenue than ever. The trend seems to be companies reporting great revenue growth, then laying off shortly after, to which the investors seem to reward. In the past, layoffs would usually bring stock prices down, since they have less human capital to generate profit from.
The layoffs are usually due to a race to meet quarterly projections; when the projections slip, the fastest way to match them again is layoffs. And for companies to keep their stock prices up, quarterly numbers have to keep climbing.
IDK. Tech companies are bringing in more revenue than ever. The trend seems to be companies reporting great revenue growth, then laying off shortly after, to which the investors seem to reward. In the past, layoffs would usually bring stock prices down, since they have less human capital to generate profit from.
The layoffs are usually due to a race to meet quarterly projections; when the projections slip, the fastest way to match them again is layoffs. And for companies to keep their stock prices up, quarterly numbers have to keep climbing.