The market capitalization of some of America’s largest tech companies has slumped more than $3.2 trillion this year following another dramatic week as investors punished disappointing results and forecasts.
“GAMMA” stocks — Google, Apple, Microsoft, Meta, and Apple — posted collective plunges of more than $300 billion in their market value this week as quarterly results revealed mixed fortunes.
Amazon’s value dipped by $170 billion this week after a steep downgrade to its outlook for holiday sales, signaling that consumers are starting to tighten their belts.
Meanwhile, Google’s parent company Alphabet is worth $80 billion less than it was on Monday as it surprised investors with a slowdown in digital advertising – another ominous cloud that a recession looms on the horizon.
Microsoft, meanwhile, posted its slowest revenue growth in five years on slowing computer sales.
Major tech stocks battled against increasing inflation at the start of the year, which hurt investor confidence about their ability to pass on soaring costs to customers.
