A
stock in a company that
sells products involving sophisticated technology. Commonly, high-technology companies deal in electronics, computers, and scientific research.
Investing in high-technology stocks is high
risk because the
market is stiffly competitive, but it may
yield a high
return, particularly if a technology becomes very popular. This was the case in the 1990s when the Internet became a part of daily life. Many high-technology stocks
trade on
NASDAQ. See also: Dot-com bubble.